TSMC next for New York fab?

November 25, 2012 // By Peter Clarke
Evidence is starting to mount that foundry chip maker Taiwan Semiconductor Manufacturing Co. Ltd., could be about to follow Globalfoundries Inc., in building a wafer fab in up-state New York.

If negotiations play out it could be one of the first commercial-scale wafer fabs set down ready to manufacture on 450-mm diameter wafers whenever that transition should come. And it could be set down next door to Globalfoundries' Fab 8 in the Luther Forest Technology Campus in Saratoga County, one of the sites under consideration.


Reports have been circulating through November that a major semiconductor company has retained consulting firm Deloitte Touche Tohmatsu Ltd. to find a location for a 3.2 million square foot production facility.


Operating under the codename Project Azalea Deloitte has reportedly considered sites multiple sites in upstate New York as well as possibilities in California and Texas. The facility is expected to create about 1,000 jobs adding to the speculation that this is a multibillion dollar, leading-edge wafer fab, which restricts the list of possible companies. The location is expected to be selected before the end of 2012 and land negotiations concluded by the end of February 2013.


This has been put together with reports that U.S. congressman Bill Owens, representative for New York, visited TSMC in December 2011, which at the time prompted speculation that TSMC was considering building a wafer fab in the New York area.


Globalfoundries is already on the ground there; Intel already has multiple centers away from New York; Samsung has its U.S. manufacturing focus in Austin Texas, and so circumstantial evidence is starting to point to TSMC as the likely owner of Project Azalea.


And even though TSMC has always been a strong advocate of clustering its fabs together at campus sites in Taiwan, such a move would make sense because New York state has become a center of excellence for nanoelectronics, extreme ultraviolet lithography and is the global center for pioneering the technology around 450-mm diameter wafers. In additon, having a leading-edge manufacturing site in the United States would not hurt TSMC's efforts to take the manufacturing of processors


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