Tsmc will have 7nm production delays due to strong demand

TSMC's 7nm process node is experiencing strong demand in multiple markets, from using AMD technology on its latest CPU and graphics hardware to using the technology in mobile phone SOCs from a host of manufacturers.

TSMC will have 7nm production delays due to strong demand

This demand for chains has forced TSMC to increase its delivery times from 7nm from two months to almost six months, at least according to Digitimes .

Although a 7nm capacity expansion is planned for the second quarter of 2020, 7nm manufacturing of TSMC may not be enough to meet customer demand anytime soon. The demand for state-of-the-art process nodes is expected to increase as more devices start using the 5G network.

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TSMC's altered delivery times will increase the time it takes for orders to become silicon for sale. Customers like AMD will already have orders for new 7nm products, which will limit the short-term impact of TSMC's manufacturing schedule. In addition, AMD's next-generation Zen 3 products aim to use a 7nm + node, moving AMD away from TSMC's standard 7nm process.

In summary, it appears that this would not affect AMD's plans in particular, at least in the short term, as it has sufficient stock right now. However, we cannot be sure that there will be no problems as the months go by for current 7nm processors and graphics cards. Other manufacturers may not be so lucky.

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