TSMC Says Taiwan Earthquake Damage Will Impact Chip Production

TSMC Says Taiwan Earthquake Damage Will Impact Chip Production

Apple chip fabricator, Taiwan Semiconductor Manufacturing Company (TSMC) says the earthquake that hit Taiwan earlier this month will impact production, but hasn’t yet indicated how badly it will be affected. TSMC shares production of the A9 with Samsung, used in the iPhone 6s lineup.

TSMC Says Taiwan Earthquake Damage Will Impact Chip Production
Rescue workers search a collapsed building following Taiwan earthquake. – Photo: CNN

A 6.4-magnitude earthquake hit Taiwan on February 6, killing 116 people, injuring scores more, and causing significant property damage in the region.

TSMC initially believed it could restore 95% of production in a few days, with a long-term inpact of only 1% on 2016 production. However, damage to one of the company’s chip-fabrication facilities is worse than originally believed. (Digitimes)

TSMC says it is still confident that it will reach revenue targets for the first quarter of the year, and still expects the overall impact of the quake damage to be relatively minor.

It was reported last week that TSMC would be the sole supplier of A10 chips for use in Apple’s next generation of iPhones, due to debut later this year. The company¬†was said to have won the contract for the new chip, reportedly due to go into full production in June, due to its 10-nanometer manufacturing process.

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