A few days ago, TSMC started production of processing chips built using their 3nm build technology at their Fab 18 factory located in Tainan, southern Taiwan.
Apple is expected to be among the first customers of processing chips built using this process, and is expected to reach full production capacity.
Despite this, TSMC also confirmed that 10 of its major customers have reduced production demand for processing chips built using 7nm and 6nm processes, in line with the decline in global demand for new processing chips.
It is reported that the reduction for processing chips using this build process has been reduced by up to 50 percent, with processing chips built using 5nm and 4nm processes also affected, but not as bad as said above.
Customers that have reportedly reduced this demand include AMD, Intel and NVIDIA. For these customers, it's not that surprising since AMD and NVIDIA's latest offerings are built using 5nm and 4nm processes, while Intel is seen as wanting to develop their own processing chips and memory components.
TSMC also expects that the company's revenue will drop by 15 percent as a result of these reductions, but with 3nm, 4nm and 5nm chips being their biggest source of revenue right now, this could be expected to happen at any time.
With the 3nm build process, TSMC's other loyal customers such as Qualcomm, MediaTek, AMD and NVIDIA are expected to use the service within a few years.
