Nearly half of Taiwan Semiconductor Manufacturing Company’s (TSMC) initial 2nm production capacity will be taken up by Apple to produce the A20 chip that is expected to be used in the Cupertino company’s iPhone 18 lineup. TSMC will soon enter mass production of chips based on the next-generation chip fabrication process.
DigiTimes reports that TSMC will begin mass-production of the 2nm process in the fourth quarter of 2025, and the foundry’s substrate pricing has been set at the rather dear price of US $30,000.
While the price is high, tech firms are still scrambling to secure a share of TSMC’s production capacity. In addition to Apple, AMD, Broadcom, Intel, Qualcomm, MediaTek and companies are vying for a share of TSMC’s wafer production, which is expected to be 45,000 to 50,000 wafers monthly at its Baoshan and Kaohsiung facilities by the end of 2025. Production is expected to scale up to 100,000 wafers per month in 2026.
The chipmaker’s 2nm process is expected to provide up to 15% faster performance and 30% better power efficiency compared to the 3nm A19 chips expected to be used in the iPhone 17 lineup.
Amazon’s Annapurna, Google, NVIDIA, and several other major firms are expected to join the above companies on TSMC’s 2nm customer list as soon as 2027. TSMC expects production to be at full capacity sometime in 2026.
TSMC’s Hsinchu Baoshan F20 plant and the Kaohsiung F22 plant will be important 2-nanometer production facilities. Both factories began construction in 2022 and are expected to be put into production sometime this year. The facilities are expected to produce approximately 45,000 to 50,000 2nm wafers by the end of 2025 and more than 100,000 wafers in 2026.
Once TSMC’s P2 plant in Arizona, USA is fully online, the monthly production capacity will reach approximately 200,000 wafers in 2028. The company’s US P3 plant, will also produce 2nm wafers.
