Wei Zhejia of TSMC: The 7nm plan of the Kaohsiung plant is just delayed and will not change the process

TSMC released its October 2022 revenue report the day before yesterday. Consolidated revenue in October was approximately  NT$210.266 billion, an increase of 1.0% from the previous month and an increase of 56.3% from the same period last year.

Wei Zhejia said in the law meeting in October that the Kaohsiung factory originally planned to have two factories, and the 7nm area will be slightly adjusted, and the 28nm part will be carried out according to the schedule.

At the same time, there is also news that the 7nm capacity utilization rate of the Taichung Fab 15B plant is lower than expected, and has dropped to below 50% at present, while the progress of the low-key Zhuke Fab 12 (P8) plant is unknown, and the 7nm plan of Kaohsiung Fab 22 plant is shelved. In the future, plans will be made depending on the production capacity requirements of each process and the construction of new factories, which has aroused concern in the industry.

TSMC President Wei Zhejia said today (11) that the 7nm plan of TSMC's Kaohsiung plant is only temporarily postponed and will not change the process.

Wei Zhejia explained earlier in the law conference that the Kaohsiung factory plan will be slightly adjusted, giving priority to cutting into the 28nm process. As for the original 7nm plan, due to the rapid decline in the utilization rate of 7nm and 6nm production capacity, the decision was postponed. Wei Zhejia confirmed today that TSMC According to the latest plan, the construction of the 7nm production capacity will be postponed.

TSMC's cumulative revenue from January to October 2022 will be about  NT$1.85 trillion, an increase of 44.0% over the same period last year.

In the third quarter of this year, TSMC's revenue was US$20.23 billion (about 145.049 billion yuan), with a gross profit margin of 60.4% and an operating net profit margin of 50.6%. During the reporting period, TSMC's 5nm shipments accounted for 28% of total wafer revenue; 7nm shipments accounted for 26%; 7nm and more advanced processes accounted for 54% of total wafer revenue.