Jiwei.com News, TSMC President Wei Zhejia presided over the Fa meeting today that due to the decline in the utilization rate of 7 and 6 nanometers of capacity, TSMC will simultaneously adjust the Kaohsiung plant's production plan , giving priority to entering 28 nanometers.
TSMC 7 nanometers and 6 nanometers of the same family were originally the main process, and its revenue accounted for 30% in the second half of this year. However, customers faced inventory adjustments and urgent order cuts, resulting in a sharp decline in capacity utilization. It was the first process for TSMC's advanced process to loosen, and it also made TSMC decide that capital expenditure will be braked this year, and capital expenditure will be revised down to US$36 billion.
While legal person inquiry today, Wei Zhejia said that due to the decline in demand for some customers such as mobile phones and PCs, TSMC's 7-nanometer and 6-nanometer process castings in the fourth quarter will be delayed, affecting the capacity utilization rate. It is expected to continue until the first half of next year, and it will take several quarters to return to the past level. To this end, TSMC Kaohsiung Plant originally planned to cut into 7 nanometers and 28 nanometers, and will also be revised to give priority to cutting into 28 nanometers.
Wei Zhejia said that the growth trend of demand for advanced processes has not changed, and the short-term decline in capacity utilization is only caused by the decline in economic conditions. It is estimated that the correction period will last until the first half of next year, and the demand for 7 nanometer families will rebound again in the second half of next year. TSMC will offset the impact of the decline in demand by providing special processes.
(Proofreading/Li Wenjing)
