INTEL COULD BE TSMC'S TOP THREE CUSTOMERS IN 2023
🟩 INTEL BECOMES TSMC’S MAIN CUSTOMER
Intel, TSMC’s 10th largest customer, is likely to become TSMC’s top three customers in 2023. Intel is rumored to be a customer who will adopt TSMC’s 3nm process along with Apple. Therefore, TSMC’s cooperation is expected to continue until at least the 2nm generation after 2025.
TSMC’S NO. 1 MAJOR CUSTOMER IS APPLE, WHICH ACCOUNTS FOR 1/4 OF REVENUE. IN SECOND PLACE IS THE SAME TAIWANESE COMPANY MEDIATEK, FOLLOWED BY A FABLESS COMPANY IN THE UNITED STATES AFTER THE THIRD PLACE.
The process of TSMC3nm process
semiconductor is the width of the route. In general, the lower the nm number, the better the performance and energy efficiency of chips of the same size. The latest process as of 2021 is the 5nm process, which has been in mass production since 2020. Compared to today’s state-of-the-art 5nm processes, the 3nm process improves computing performance by 10~15% and power consumption can be reduced by 25~30%.
🟩 state-of-the-art processes for limited customers
Most TSMC customers employ processes up to 7nm. Fewer and fewer customers have access to advanced processes after 5nm. Advanced processes are only available to a limited number of semiconductor manufacturers such as Apple, MediaTek, Qualcomm, Supermicro, and NVIDIA, or to large IT companies such as Google and Tesla.
Intel’s Foundry Business
Intel has declared that it will enter the foundry business with its “IDM2.0” strategy. We have already announced that we will adopt Intel20A processes such as AWS and Qualcomm. As for TSMC, Intel’s foundry business will be a competitor to Intel. Because only a limited number of companies have access to advanced processes, receiving an order from Intel is a new source of revenue for TSMC.
🟩 conclusion
WITH ONLY A LIMITED NUMBER OF MANUFACTURERS CAPABLE OF ADOPTING ADVANCED PROCESSES, RIVAL INTEL COULD BE A TSMC TOP 3 CUSTOMER
INTEL IS STRUGGLING TO GET ITS CUTTING-EDGE PROCESSES UP AND RUNNING. THAT BEING SAID, WE HAVE THE ABILITY AND FINANCIAL FOUNDATION TO MASTER TSMC’S CUTTING-EDGE PROCESSES.
