TSMC Begins Work on 1.4nm A14 Chip Facility in Taiwan, Skips ASML’s High-NA EUV Machines

TSMC, the world’s largest chipmaker, is preparing to enter the next frontier of semiconductor technology with its 1.4nm process, codenamed A14. While its 2nm node is expected to go into production by the end of 2025, the Taiwanese giant is already laying the groundwork for something even more advanced.

The 1.4nm facility is planned to be built in Taichung, Taiwan, with construction beginning before the end of this year and full-scale production projected for the latter half of 2028.

According to the latest reports from the Commercial Times, TSMC’s R&D for this ultra-dense node will take place at its Hsinchu campus, while active recruitment is already underway in Taichung. Construction permits for three major buildings were granted in August, marking the official start of the A14 chapter. The company’s initial investment could exceed NT$1.5 trillion (around $49 billion), highlighting both the ambition and complexity of the project. Out of this sum, a significant portion will likely go toward purchasing around 30 EUV lithography machines in 2027.

Interestingly, TSMC is reportedly skipping ASML’s newest High-NA EUV machines for its 1.4nm process. These next-generation systems, priced at roughly $400 million each, offer higher precision but come with a steep cost that even the world’s top chipmaker seems unwilling to bear at this stage. Industry observers like Dan Nystedt have pointed out that TSMC’s decision likely stems from confidence in its existing EUV infrastructure, which the company believes can handle 1.4nm production through refined multi-patterning techniques.

This approach is not without challenges. Multi-patterning requires multiple exposure cycles per layer, significantly increasing production time and cost. Initially, yields could suffer, forcing TSMC into a rigorous ‘trial and error’ phase before achieving optimal efficiency. However, unlike China’s SMIC – which uses similar workarounds to produce 5nm chips under export restrictions – TSMC already has access to advanced EUV technology and years of experience. With several years before mass production begins, it has time to fine-tune the A14 node to balance yield, performance, and power efficiency.

The company claims the 1.4nm process will bring around 30% lower power consumption compared to its 2nm counterpart, an impressive leap in efficiency that could redefine the limits of transistor density. As AI, data centers, and high-performance computing drive global demand for smaller, more efficient chips, TSMC’s decision to invest heavily in local manufacturing ensures it remains a step ahead of its rivals.

While competitors like Intel and Samsung are still racing to stabilize their own sub-3nm technologies, TSMC’s long-term vision reinforces its dominance. The A14 project not only cements Taiwan’s critical position in the global semiconductor supply chain but also signals TSMC’s determination to lead the industry into the next atomic-scale era of chipmaking.