Wednesday, October 16th 2019
TSMC Extends 16 nm Lead Time, Possibly Because the Fab is Swamped
TSMC has increased its 7 nm delivery time by as much as three times because of extra demand from customers who want their products made on 7 nm manufacturing process. While we thought the struggles with the delivery of 7 nm will only be present for that node, it turns out that TSMC is facing some issues with the delivery of its 16 nm node as well.
There is no clear indication of why is TSMC having issues meeting demand for its 16 nm node, just now. What might be the reason is that a large number of manufacturers are still designing and manufacturing their products on 16 nm, as it is quite cheaper than smaller nodes, so the 16 nm manufacturing facilities may be "overloaded". Another possible reason is that wafer output faced some issues that are now affecting both the 7 and 16 nm node delivery time being extended. That can be anything from a small power cut to a large issue like contamination of cleanrooms where processors are made.
There is no clear indication of why is TSMC having issues meeting demand for its 16 nm node, just now. What might be the reason is that a large number of manufacturers are still designing and manufacturing their products on 16 nm, as it is quite cheaper than smaller nodes, so the 16 nm manufacturing facilities may be "overloaded". Another possible reason is that wafer output faced some issues that are now affecting both the 7 and 16 nm node delivery time being extended. That can be anything from a small power cut to a large issue like contamination of cleanrooms where processors are made.