Semiconductor – TSMC Expands Advanced Chip Production Plans Through 2029
Semiconductor – Taiwan Semiconductor Manufacturing Co. presented fresh developments in advanced chip production and packaging technologies during its 2026 Taiwan Technology Symposium held in Hsinchu on Thursday.
Taiwan’s leading chipmaker outlined its long-term manufacturing strategy while introducing several next-generation semiconductor technologies expected to support future demand for artificial intelligence, data centers, and high-performance computing systems. The company also highlighted progress in its advanced 2nm production process and packaging capabilities, areas currently receiving close attention across the global semiconductor sector.
New Process Technologies Unveiled
During the event, company executives introduced the A13, A12, and N2U manufacturing technologies, which are expected to play a major role in future chip production. Officials confirmed that the A13 and A12 process technologies are scheduled to enter mass production in 2029 as the company continues expanding its advanced manufacturing roadmap.
TSMC executives stated that customer interest in 2nm technology has already strengthened before full-scale commercial deployment. According to company figures, around 25 finalized chip designs based on the 2nm process have already been secured, while more than 70 additional customer projects remain under development.
Focus on Advanced Packaging Expansion
The company also announced large-scale production of its latest chip-on-wafer-on-substrate packaging solution, commonly known as CoWoS. TSMC described the platform as the world’s largest advanced packaging solution currently available for semiconductor applications.
Yuan Li-pen, vice president for business development, said the new 5.5-reticle-size CoWoS packaging technology has achieved production yields exceeding 98 percent. The figures drew industry attention as semiconductor manufacturers continue competing to improve production efficiency and packaging performance for AI-focused processors.
Advanced packaging has become increasingly important as companies attempt to integrate larger memory capacities and more complex chip architectures required for artificial intelligence workloads and high-speed computing applications.
Competition Intensifies Among Global Chipmakers
The latest update from TSMC arrived at a time when global semiconductor companies are facing growing pressure to improve manufacturing yields and expand foundry services.
Recent industry reports indicated that Intel’s EMIB-T packaging technology has reportedly reached yield rates close to 90 percent. Samsung Electronics has also continued development of its own 2nm manufacturing process, with reports suggesting yield levels have moved into the mid-50 percent range.
Against this backdrop, TSMC’s reported performance places the company ahead of several major competitors in terms of manufacturing efficiency and packaging reliability.
New Fabrication Plants Planned
TSMC executives also addressed future infrastructure plans designed to support rising global demand for advanced chips. B.Z. Tien, the company’s vice president for operations and advanced technology engineering, said five new fabrication plants are expected to begin operations during 2026.
The expansion reflects growing worldwide investment in semiconductor manufacturing as technology companies increase demand for processors used in artificial intelligence systems, cloud computing, and next-generation electronics.
According to projections shared during the symposium, TSMC expects its 2nm manufacturing capacity to grow at a compound annual growth rate of 70 percent between 2026 and 2028.
At the same time, production capacity for CoWoS and SoIC advanced packaging technologies is forecast to expand by more than 80 percent annually through 2027.
Future AI Computing Platforms Under Development
TSMC also revealed plans for larger semiconductor packaging systems aimed at future AI computing requirements. The company expects to begin production in 2028 of a 14-reticle-size CoWoS platform capable of integrating 20 high-bandwidth memory chips.
A larger version supporting 24 high-bandwidth memory chips is planned for 2029, reflecting the increasing memory and processing requirements of advanced artificial intelligence applications.
Industry analysts continue monitoring developments in semiconductor manufacturing as demand for AI infrastructure drives rapid investment across the global technology sector.