TSMC 2nm Process in High Demand Before Production

According to recent reports, Apple is expected to unveil its thinnest iPhone model yet, the iPhone 17 Air (working title), featuring the new A19 chip. Industry analysts are optimistic about TSMC's continued role as the exclusive producer of Apple's advanced processors. Thanks to its strong partnership with major clients, TSMC's 3nm production lines are fully booked, with the first batch of its cutting-edge 2nm capacity already reserved by Apple for 2025.

TSMC typically refrains from commenting on individual clients or market rumors, and Apple has not confirmed these reports. However, sources suggest that the iPhone 17 Pro and iPhone 17 Pro Max will feature TSMC's 2nm process, while the ultra-slim iPhone 17 Air might continue using the 3nm process.

Following the full upgrade of the iPhone 16's chip to TSMC's 3nm process, Apple is already planning to adopt even more advanced manufacturing technologies to support enhanced AI capabilities in future models. Furthermore, other non-Apple clients, such as Intel with its Nova Lake platform, are also expected to use TSMC's 2nm process. With demand for 2nm chips exceeding expectations, TSMC is already seeing significant interest, with orders secured through 2026.

Earlier reports had indicated that demand for TSMC's 2nm chips has been exceptionally strong, prompting plans for capacity expansion, including at the Southern Taiwan Science Park (STSP), to accommodate growing needs. Apple was the first to secure the initial 2nm production capacity, and other clients, driven by the rise of AI technologies, are also eagerly planning to adopt the new process. It is anticipated that some of the existing 3nm production lines at STSP may be repurposed to accommodate 2nm production.

Industry experts predict that TSMC's 2nm capacity will be established in several locations, including its Baoshan facility in Hsinchu and Phase 2 in Kaohsiung.