TSMC confirmed a plan to invest $45 billion for the development of 1‑nanometer production.

TSMC announced plans for large-scale investments in manufacturing

At a board meeting of TSMC on Tuesday, the allocation of almost $45 billion was approved to expand and modernize production capacities. This is the largest budget that the company has ever sanctioned.

What will be invested
* New plants – construction of new semiconductor fabrication facilities.
* Modernization of existing lines – upgrading equipment and processes at already operating sites.
* Package solutions – creation of modern chip packaging centers.

According to TSMC’s statement, 70 %–80 % of capital expenditures in 2026 will be directed toward advanced technology nodes (e.g., 3‑nm and 2‑nm), 10 %–20 % toward packaging and mask fabrication, and the remaining ~10 % toward specialized technologies.

Why it matters
* The increase in capital allocations indicates that the company is actively growing. Compared to last year, when the board approved $17 billion in Q1 and up to $21 billion in Q2, this represents almost a three‑fold volume.
* Actual spending has not yet been determined – this is merely a funding allocation for specific projects. Nevertheless, an increase in allocations typically signals higher real capital expenditures in the coming years.

Strategic context
The planned investments will allow TSMC to cement its position as a leader in access to the most advanced manufacturing capabilities, especially compared with Intel and Samsung Foundry. The more plants the company has, the greater the likelihood of securing large orders from key customers; if their volume needs are lower, they are less likely to outsource production to competitors.

Personnel news
At the same board meeting, S.S. Lin was promoted to vice‑president. He is currently the senior director of the research division responsible for the A10 technology process (class 1 nm).

* The promotion reflects management’s satisfaction with progress on the A10 platform development.
* As vice‑president, Lin will be able to more actively manage multiple programs and influence company strategy, especially now that A10 is moving from research to partner deployment.

What is A10
* TSMC’s technology process after A14, expected to launch for customers in 2030 or later.
* Will enable the production of monolithic chips with over 200 billion transistors.
* Likely to use high‑resolution High‑NA EUV lithography.

Thus, TSMC continues to invest in the future of the microchip industry and strengthen its position as a key player in the global market.