📰 TSMC in Talks With Nvidia for AI Chip Production in Arizona
TSMC is negotiating with Nvidia to produce Blackwell AI chips in Arizona, with production set for 2025.
TSMC TSM 0.00%↑ is negotiating with Nvidia to produce its Blackwell AI chips at TSMC's new facility in Arizona, with production expected to begin in early 2025. Currently manufactured in Taiwan, the Blackwell chips are crucial for AI applications, including generative AI and accelerated computing, with high demand from these industries.
The Arizona plant will handle the front-end production process, while final packaging will still occur in Taiwan, due to the facility's lack of necessary CoWoS capacity. This move aligns with TSMC’s efforts to expand U.S.-based semiconductor manufacturing, supported by U.S. government subsidies aimed at boosting domestic production.
If the deal is finalized, Nvidia will join other major customers, including Apple and AMD, at the Arizona facility, marking a significant step in the U.S.'s push to enhance its chip manufacturing capabilities.
Source: Yahoo Finance, Reuters
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