TSMC Racing Ahead With $49 Billion 1.4nm Fab Project

TSMC is once again accelerating the semiconductor race. Even as mass production of its 2nm node is still slated for late 2025, the company is already preparing to break ground on its first 1.4nm (A14) facility ahead of schedule.

The project, codenamed Fab 25, will rise inside the Central Taiwan Science Park near Taichung City, with an eye-watering initial investment of around $49 billion (NT$1.5 trillion).

According to local reports, TSMC has already informed suppliers to prepare for expedited equipment deliveries, underlining the urgency and ambition of the move. The Fab will eventually include four plants, with the first targeted for trial runs by the end of 2027. If everything stays on track, full-scale production could start in the second half of 2028. The 1.4nm process is expected to deliver up to 15% better performance while cutting power use by 30%, setting a new benchmark for the industry.

The investment also signals how TSMC intends to widen its lead over rivals like Intel and Samsung, both of which have struggled with setbacks. Industry chatter suggests that even U.S. government backing may not be enough to save Intel’s foundry push from slipping into irrelevance. Meanwhile, Samsung faces challenges of its own as TSMC stretches the gap in advanced nodes.

Of course, bleeding-edge tech won’t come cheap. TSMC’s 2nm wafers are already projected to cost clients about $30,000 each. For A14 wafers, customers may need to cough up an eye-popping $45,000 per wafer. And with whispers that a 1nm node could follow in the early 2030s, the stakes and costs will only climb higher.

For now, the semiconductor arms race has a clear frontrunner. The combination of aggressive timelines, massive investment, and unrivaled engineering makes TSMC the player to watch as the industry inches closer to the angstrom era.