TSMC launches 2 nm, shares rise 📈

Taiwan Semiconductor Manufacturing Co. has officially started mass production of 2‑nanometer chips, becoming the first company in the world to achieve a high-volume manufacturing process with Gate-All-Around transistors. This milestone marks a significant step for the semiconductor industry, introducing a structural shift comparable to the previous generations of 7‑nanometer and 5‑nanometer processes. The 2‑nanometer chips deliver higher performance at the same power consumption, or a significant reduction in energy use while maintaining current speeds, with transistor density increasing by more than 15 percent. Production is taking place at Fab 22 in Kaohsiung and Fab 20 in Hsinchu, with full capacity expected to reach 100,000 wafers per month by the end of 2026.

The company’s largest clients have already secured strategic production capacity. Apple has guaranteed more than half of the initial capacity for A20 and M6 chips, highlighting the giant’s strong reliance on the Taiwanese foundry. Nvidia and AMD have also reserved a significant portion of wafers for AI accelerators and server processors. The price per wafer is around 30,000 USD, representing a 10–20 percent premium over 3‑nanometer wafers and indicating high margins for the company.

Competition is trying to catch up, but TSMC maintains a clear advantage. Samsung started mass production of 2‑nanometer chips in November 2025, but lower yields limit its ability to attract new clients. TSMC is already working on an improved 1.6‑nanometer process with a new power delivery system, which is expected to further increase performance and reduce energy consumption, strengthening the company’s position in the next generation of chips.

For the market, the launch of the 2‑nanometer node has several important implications. TSMC is solidifying its position as a key supplier for companies in artificial intelligence and high-performance computing, where demand exceeds available production capacity. More than half of the production has already been allocated to major clients, while competitors face limited ability to expand, allowing TSMC to maintain high margins. Analysts estimate that TSMC’s revenue could grow by 20–25 percent in 2026, underscoring the strategic importance of the new node for the semiconductor market.

Source: xStation5