Tesla to Choose TSMC's N3P for Next-Gen FSD Chips

In recent updates reported by MoneyDJ, there has been a notable increase in New Tape-Outs (NTOs) for TSMC's upcoming 3nm chip design set for production in 2024. Major industry players, including MediaTek, AMD, NVIDIA, Qualcomm, and Intel, are slated to integrate these advanced chips into their forthcoming products. Rumors are circulating that Tesla has also secured orders for TSMC's N3P process, with plans for mass production in the latter half of 2024. The N3P process, part of the cutting-edge 3nm series, promises a 5% boost in performance, a 5-10% reduction in power consumption, and a 4% increase in chip density compared to the N3E process.

As per TSMC's roadmap, the N3P process is expected to commence production in 2024. Tesla's order is speculated to involve the production of next-generation Fully Self-Driving (FSD) chips, enhancing the autonomous driving capabilities of their vehicles. TSMC President Wei Zhejia highlighted in a recent conference that, following internal evaluations, the N3P process demonstrates overall power performance on par with competitors' 18A (sub-2nm processes), and it may even boast superior technological maturity and cost advantages.

Intel, expressing confidence in its 18A process, has previously asserted that TSMC's N3P process offers superior Power, Performance, and Area (PPA) costs and technological maturity compared to industry alternatives. Tesla has already initiated semiconductor chip orders with TSMC, encompassing the "D1" supercomputer chip manufactured using the 7nm family process combined with advanced packaging.

Recent developments indicate that Tesla has placed New Tape-Out orders with TSMC, intending to leverage the N3P process for the production of its fifth-generation autonomous driving chips. With the influx of these strategic orders, market observers speculate that Tesla stands poised to potentially become one of TSMC's prominent clients.