Apple Chip Supplier TSMC to Expand Production Capacity With $100 Billion Investment Over Next Three Years

Long-time Apple supplier TSMC, which produces A-series chips for the iPhone, iPad, and Apple silicon chips for the Mac, will invest $100 billion over the next three years to significantly expand its production capacity to meet ever-increasing demand, Bloomberg reports.

apple chip lab
TSMC previously announced a planned expenditure of up to $28 billion in 2021 alone; however, an ongoing chip shortage is plaguing the global semiconductor industry, forcing the supplier to increase its planned investments. In a statement, TSMC says the new $100 billion investment will expand support for production and R&D of new semiconductor technologies.

TSMC expects to invest USD$100b over the next three years to increase capacity to support the manufacturing and R&D of advanced semiconductor technologies. TSMC is working closely with our customers to address their needs in a sustainable manner.

In a letter to customers, such as Qualcomm, Nivida, and Apple, TSMC CEO C.C. Wei revealed that his company has been running at 100% capacity over the last year and that thousands of new employees have been hired in an effort to keep up with demand.

In a letter to customers obtained by Bloomberg News, TSMC Chief Executive Officer C.C. Wei wrote that the company's fabs have been "running at over 100% utilization over the past 12 months," but demand still outpaced supply. Thousands of new employees are being hired, and multiple new factories are under construction, he added, and TSMC will suspend wafer price reductions for a year from the start of 2022.

The new investment comes the same week that Apple has reportedly booked all of TSMC's production capacity for 4nm process chips, expected to be used in "new generation" Mac computers.

Tag: TSMC

Popular Stories

iPhone 17 Pro Blue Feature Tighter Crop

iPhone 17 Pro Launching in Three Months With These 12 New Features

Saturday June 14, 2025 5:45 pm PDT by
The iPhone 17 Pro and iPhone 17 Pro Max are three months away, and there are plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models as of June 2025:Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models have a titanium frame, and the iPhone X through iPhone 14 Pro have a...
apple watch ultra 2 new black

Apple Watch Ultra 3 Finally Coming After Two-Year Hiatus

Monday June 16, 2025 8:45 am PDT by
Apple will finally deliver the Apple Watch Ultra 3 sometime this year, according to analyst Jeff Pu of GF Securities Hong Kong (via @jukanlosreve). The analyst expects both the Apple Watch Series 11 and Apple Watch Ultra 3 to arrive this year (likely alongside the new iPhone 17 lineup, if previous launches are anything to go by), according to his latest product roadmap shared with...
apple watch ultra snow

6 Features Coming to the Apple Watch Ultra 3

Tuesday February 25, 2025 9:00 am PST by
The Apple Watch Ultra 3 is expected to launch later this year, arriving two years after the previous model with a series of improvements. While no noticeable design changes are expected for the third generation since the company tends to stick with the same Apple Watch design through three generations before changing it, there are a series of internal upgrades on the way. By the time the ...
terminal macos tahoe

Apple's Terminal App Gets Colorful Redesign in macOS Tahoe

Monday June 16, 2025 4:12 am PDT by
Apple's Terminal app is getting a visual refresh in macOS Tahoe, and it's the first notable design update since the command-line tool debuted. The updated Terminal will support 24-bit color and Powerline fonts, according to Apple's State of the Platforms presentation at WWDC25. The app will also adopt the new Liquid Glass aesthetic with redesigned themes that align with macOS 26's broader...
iOS 26 on Three iPhones

Apple Says iOS 26 Won't Be Available on These iPhone Models

Tuesday June 10, 2025 6:58 am PDT by
Apple this week revealed that iOS 26 is compatible with the iPhone 11 series and newer. That means that iOS 18 is the end of the road for the iPhone XS, iPhone XS Max, and iPhone XR, which were all released in 2018. However, those devices will continue to receive security updates for at least a few more years. iOS 26 is compatible with the following iPhone models: iPhone 16e iPhone...
new iphone lockscreen ios 26

iOS 26: Five Changes Coming to Your iPhone Lock Screen

Tuesday June 17, 2025 8:46 am PDT by
With iOS 26, Apple has made some additions to the iPhone Lock Screen that aim to make it more customizable than ever. Of course, things can always change before the software makes its way to the general iPhone-owning public, but here are five new things iOS 26 can do on the Lock Screen as of the current developer beta. Widgets Top or Bottom In iOS 18, the row of widgets on your Lock...
iOS 26 Hold Assist

Google Says iOS 26 Copies Three Android Features

Tuesday June 17, 2025 7:20 am PDT by
In a new ad, Google says iOS 26 copies three Android features that have been available on Pixel phones for years: Live Translate, Hold Assist, and Call Screening. The video, part of the ongoing #BestPhonesForever series, shows an iPhone and a Pixel 9 Pro talking to each other on a fictional podcast. "I announced live translation for text messages," the iPhone says. "And it turned out...

Top Rated Comments

djcerla Avatar
55 months ago
Intel’s board of directors, reached at their Honolulu resort, remained largely unmoved by the news.

“We like our strategy. We like it a lot” said Chip Ballmer, Head of Development for Intel’s new 12 nm process.
Score: 18 Votes (Like | Disagree)
TheYayAreaLiving ?️ Avatar
55 months ago
Good stuff! 100 Billion investment! That’s wonderful. Good bye Intel Chips.
Score: 8 Votes (Like | Disagree)
ungoogled Avatar
55 months ago
What happens to TSMC if China takes over Taiwan?
Score: 7 Votes (Like | Disagree)
CJM Avatar
55 months ago
Thing is... only one company based in the Netherlands, ASML, is making the Extreme Ultraviolet Lithography machines that are required to fab these 5nm chips and they are totally booked up with orders. Unless they increase production as well, this is going to be a difficult road.
Score: 6 Votes (Like | Disagree)
ArPe Avatar
55 months ago
Just don’t give anymore chips to miners. They’re all performing the same damn calculations in a stupid sudoku competition and eating up all our resources. Don’t give them even one more gram of silicon and black the miners at the architectural level not just some firmware or software patch that they can hack.
Score: 6 Votes (Like | Disagree)
InGen Avatar
55 months ago
The battle for the silicon chip has begun. Considering every digital platform & system is largely dependant and reflective of the Silicon it's running on, expect there to be big 'turf wars' over the systems and platforms we use as companies compete to have their chips used. And while Apple may not share the levels of quantity and proliferation that it's competitors enjoy in this industry, Apple's integration between the software and hardware is unparalleled, and I see Apple winning the long game when it matures and broadens the applications of it's operating systems.
Score: 5 Votes (Like | Disagree)