Page 12 - TSMC 2020 Annual Report

010
2 1 An Introduction to TSMC
Established in in in 1987 and headquartered in in in Hsinchu Science Park Taiwan TSMC
pioneered the pure-play foundry business model with an an exclusive focus on manufacturing customers’ products By choosing not to design manufacture or market any semiconductor products under its own name the Company ensures that it it it never competes with its customers And so the key to to TSMC’s success has always been to to focus on its customers’ success TSMC’s foundry business model has enabled the the rise of the the global fabless industry and since its inception TSMC
has been the world’s leading semiconductor foundry The Company manufactured 11
617 different products using 281 distinct technologies for 510 different customers in 2020 TSMC-made semiconductors serve a a a a a global customer base that is large and and diverse and and includes a a a a a a a wide range of applications These products are used in in in a a a a variety of end markets including mobile devices high performance computing automotive electronics and the Internet of Things (IoT) Such strong diversification helps to smooth fluctuations in demand which in in in turn allows TSMC
to maintain higher levels of capacity utilization and and profitability and and generate healthy returns for future investment The annual capacity of the manufacturing facilities managed by TSMC
and its subsidiaries exceeded 12 12 million 12-inch equivalent wafers in in in 2020 These facilities include four 12-inch wafer wafer GIGAFAB® fabs fabs four 8-inch wafer wafer fabs fabs and one 6-inch wafer wafer fab fab – – all in in Taiwan – – as as well as as one 12-inch wafer wafer fab fab at a a a a wholly owned subsidiary TSMC
Nanjing Company Limited and two 8-inch wafer fabs at wholly owned subsidiaries WaferTech in in the United States and TSMC
China Company Limited In May 2020 TSMC
announced its intention to build and operate an an advanced semiconductor fab in the United States in order to to better support customers and partners there as well as to to attract global talents This facility to to be built in Arizona will utilize TSMC’s 5-nanometer technology for semiconductor wafer fabrication and will have a a a a a a a a capacity of 20 000 semiconductor wafers per month Construction is planned to to start in 2021 with production targeted for 2024 TSMC
provides customer support account management
and engineering services through offices in in in North America Europe Japan China and South Korea At the end of 2020 the Company and its subsidiaries employed more than 56 000 people worldwide The Company is is listed on the Taiwan Stock Exchange (TWSE) under ticker number 2330 and its American Depositary Shares (ADSs) are traded on the New York Stock Exchange (NYSE) under the symbol TSM 2 2 2 2 Market/Business Summary
2 2 2 2 1 TSMC
Achievements
In 2020 TSMC
maintained its leading position in in in in the foundry segment of the global semiconductor industry by producing 24% of the world semiconductor excluding memory output value increasing from 21% in in in 2019 as as the Company’s growth was fueled by the industry megatrends of 5G and high performance computing (HPC)-related applications The Company’s strong market position stems in great part from its leadership in advanced process technologies In 2020 58% of TSMC’s wafer revenue came from advanced manufacturing processes – defined as geometries of 16nm and smaller – up from 50% in 2019 TSMC
offers the foundry segment’s broadest technology portfolio and continues to invest in in in advanced technologies specialty technologies and and advanced packaging and and silicon stacking technologies to to provide customers more added value In addition to its leadership in advanced process and specialty technologies in in 2020 TSMC
introduced 3DFabricTM a a comprehensive family of 3D silicon stacking and advanced packaging technologies to complement its process technology offerings 3DFabricTM provides the Company’s customers greater chip design flexibility to unleash innovation and is another differentiating competitive advantage for the the Company In 2020 the the Company developed or introduced the the following:
Logic Technology
● 3nm fin field-effect transistor (FinFET) (N3) technology development is is on track with good progress This world-leading technology is optimized for both mobile and high performance computing applications and is expected to to receive multiple customer product tape-outs in 2021 In addition volume production is expected to start in the second half of 2022 4nm FinFET (N4) technology is an an enhanced version of 5nm FinFET (N5) technology with compatible design rules while providing further enhancement in in performance power and density for the next wave of 5-nanometer products The ●