Apple supplier begins construction of $12BN US plant in Arizona

Tsmc (Image credit: Taiwan Semiconductor Manufacturing Co., Ltd.)

What you need to know

  • Apple supplier TSMC has started work on its new US plant.
  • The company's chief exec says work is underway on the $12BN facility in Phoenix, Arizona.

Apple supplier TSMC, maker of the A-series chip for devices like the iPhone 12, has confirmed that work has begun on its new $12BN plant in Phoenix, Arizona.

From Bloomberg:

Taiwan Semiconductor Manufacturing Co. said it's moving forward with plans to build a $12 billion chip plant in Phoenix, a step toward addressing U.S. concerns over reliability and security in the tech supply chain.Construction is "well under way," Chief Executive Officer C.C. Wei said during a pre-recorded presentation at the company's annual technology symposium for North America on Tuesday.

According to Nikkei Asia the company has already hired 250 employees who will train in Taiwan for a year. Bloomberg notes that $200 million will come from the city of Phoenix to improve infrastructure around the plant including roads and sewers.

The plant is due to be completed in 2024. Recent reports in May suggest the company may build another five plants to expands its U.S. operation at the behest of Washington. From that report:

The $12bn Arizona plant is reportedly expected to start volume production in 2024, and now five more additional factories in the state might be on the way:Three sources familiar with the matter, speaking on condition of anonymity as they were not authorised to speak to the media, told Reuters that up to five additional fabs for Arizona are being planned.The initial fab is relatively modest by industry standards, with a planned output of 20,000 wafers - each of which contains thousands of chips - every month using the company's most sophisticated 5 nanometre semiconductor manufacturing technology

The best iPhone in recent years, Apple's iPhone 12 is powered by Apple's A14 chip, which is made by TSMC.

Stephen Warwick
News Editor

Stephen Warwick has written about Apple for five years at iMore and previously elsewhere. He covers all of iMore's latest breaking news regarding all of Apple's products and services, both hardware and software. Stephen has interviewed industry experts in a range of fields including finance, litigation, security, and more. He also specializes in curating and reviewing audio hardware and has experience beyond journalism in sound engineering, production, and design. Before becoming a writer Stephen studied Ancient History at University and also worked at Apple for more than two years. Stephen is also a host on the iMore show, a weekly podcast recorded live that discusses the latest in breaking Apple news, as well as featuring fun trivia about all things Apple. Follow him on Twitter @stephenwarwick9