Apple's Chipmaker Pledges $100 Billion More for US Plants

[MacRumors]

Apple chip supplier TSMC has announced a $100 billion increase to its U.S. chip investment, bringing its total commitment to $265 billion.

The increase was confirmed by the White House and the Department of Commerce alongside TSMC's second quarter earnings call. Commerce Secretary Howard Lutnick said the investment would "create tens of thousands of American jobs," while TSMC chairman and CEO C.C. Wei told CNBC the new fabrication plants would support "our leading U.S. customers," a group that reportedly includes Apple, alongside Nvidia and Broadcom.

Apple CEO Tim Cook called Apple "TSMC Arizona's first and largest customer" when the company's third Arizona fab broke ground last year, and the company's first Arizona plant already produced some of Apple's A16 chips.

TSMC has historically reserved its most advanced manufacturing processes for its home plants in Taiwan, meaning Arizona made chips have trailed several generations behind whatever Apple ships at any given time. TSMC has since committed to building its own advanced packaging facilities in the US as part of its broader investment plan, according to a regulatory filing.

The new $100 billion is expected to fund up to four more plants, though the exact shape of the plan remains unsettled. The Department of Commerce says the total will reach 12 U.S. facilities, while an official told Bloomberg the eventual mix could be 10 fabrication plants and two packaging facilities, focused on 2 nanometer chips, TSMC's most advanced process commercially available today.

That timing could hinge partly on how much U.S. capacity Apple itself ends up needing, since the company has been separately exploring Intel and Samsung as backup chipmakers to reduce its reliance on TSMC amid the ongoing global chip crunch. Apple is reported to have secured an exemption from a proposed 100% semiconductor tariff partly by pledging its own U.S. manufacturing investment and agreeing to buy chips from Intel.

Note: Due to the political or social nature of the discussion regarding this topic, the discussion thread is located in our Political News forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Article Link: Apple's Chipmaker Pledges $100 Billion More for US Plants

 

[turbineseaplane]

The new $100 billion is expected to fund up to four more plants, though the exact shape of the plan remains unsettled.

Everyone is mostly saying what they need to say and hoping 2028 brings about change.

 

[Nyx1]

Apple now It's not TSMC first customer anymore.

 

[ugahairydawgs]

Everyone is mostly saying what they need to say and hoping 2028 brings about change.

You hope that the US doesn't get this kind of strong investment?

 

[turbineseaplane]

You hope that the US doesn't get this kind of strong investment?

Where did I say that?

 

[Alfonson]

You hope that the US doesn't get this kind of strong investment?

Propagating free market bs for decades and installing a planned economy by force when other countries start catching up. Enjoy the fun while it lasts but the superpower days are over, no one is looking up to the usa anymore

 

[turbineseaplane]

Propagating free market bs for decades and installing a planned economy by force when other countries start catching up. Enjoy the fun while it lasts but the superpower days are over, no one is looking up to the usa anymore

I know, right?

It's amazing how many Americans are suddenly ok with dictatorial regime behavior now.

 

[MiamiFL]

Propagating free market bs for decades and installing a planned economy by force when other countries start catching up. Enjoy the fun while it lasts but the superpower days are over, no one is looking up to the usa anymore

You couldn't be more wrong.

 

[963852741]

Apple needs their own foundry. Best investment long term.

 

[DEMinSoCAL]

Good thing this is in the Political Forum so we can call the new chips made here "TRUMP Chips". Under an electron microscope, you'll be able to see Trump's face in the die of each chip. 😀

 

[turbineseaplane]

Good thing this is in the Political Forum so we can call the new chips made here "TRUMP Chips". Under an electron microscope, you'll be able to see Trump's face in the die of each chip.

I wonder if the chips will have orange paint on them, like his face always does?

 

[DEMinSoCAL]

I wonder if the chips will have orange paint on them, like his face always does?

Unsure, but I bet they will have an enhanced sleep mode. 🤣

 

[DEMinSoCAL]

You hope that the US doesn't get this kind of strong investment?

You think these foreign companies would be spending billions on building in the US if it weren't for our current policies of extorting countries with tariffs unless you build in the US?

 

[ugahairydawgs]

I know, right?

It's amazing how many Americans are suddenly ok with dictatorial regime behavior now.

Seeking investment in the economy is dictatorial regime behavior?

 

[turbineseaplane]

Seeking investment in the economy is dictatorial regime behavior?

See the post above yours.

 

[CEmajr]

You hope that the US doesn't get this kind of strong investment?

Yes. It's wild how many so called Americans are anti-American these days. I guess privilege gets boring after a while.

 

[turbineseaplane]

Yes. It's wild how many so called Americans are anti-American these days. I guess privilege gets boring after a while.

As an American, I'm pro free market capitalism ... which is decidedly not how our Federal Government is operating.

 

[CapitalIdea]

Sure, Jan. Just like the Foxconn Wisconsin debacle. Even then, the "thousands of jobs" that may be "created" are just temp work on construction. And before the usual suspects cry about it being "fake news" just because it's listed in Wikipedia, the facts on the ground and math don't care about your feelings of embarrassment due to the failures of your candidate.

 

[ugahairydawgs]

You think these foreign companies would be spending billions on building in the US if it weren't for our current policies of extorting countries with tariffs unless you build in the US?

Using tariffs to force the issue is somehow worse than American companies sending jobs overseas because they can get by with paying people in Asia pennies on the dollar? I want the jobs here. I want investment in the US because I'm an American. And yeah....I would like to equalize trade deficits to some extent to spread American made goods more around the world and take the job creation that comes along with that. I don't love the tariffs, but I also don't love being so reliant on outsourcing so many segments of the economy.

 

[CapitalIdea]

You couldn't be more wrong.

If you say so. Meanwhile, yes, it is a planned economy, as shown by the POTUS's direct interference in the private sector.

 

[Taq'aix]

Who’s paying for these so-called investments? I think we already know the answer.

My 14 Pro isn’t going anywhere. Still lightning-fast with stellar performance.

 

[turbineseaplane]

Using tariffs to force the issue

I appreciate you at least admitting that is what is going on.

 

[neuropsychguy]

Sure, Jan. Just like the Foxconn Wisconsin debacle. Even then, the "thousands of jobs" that may be "created" are just temp work on construction. And before the usual suspects cry about it being "fake news" just because it's listed in Wikipedia, the facts on the ground and math don't care about your feelings of embarrassment due to the failures of your candidate.

Except that TSMC is already producing chips in Arizona (as of late 2024) so its much different from the Foxconn situation.

 

[ugahairydawgs]

I appreciate you at least admitting that is what is going on.

I mean....it's been (one of) the President's ever changing justifications for the tariffs. Like I said, I don't love them but at the same time they aren't exactly new either. The President has just applied them more broadly.

 

[MiamiFL]

If you say so. Meanwhile, yes, it is a planned economy, as shown by the POTUS's direct interference in the private sector.

Pew is far from a credible source. No one is trying to get into China or any country in the EU, legally or otherwise, while everyone is clamoring to get into the US.