TSMC abandons plans for 2nm chip plant after Taiwanese locals protest

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Foundry giant now searching for new home for high-end fab site

www.theregister.com/, Oct. 17, 2023 – 

Taiwan Semiconductor Manufacturing Co. (TSMC) will abandon plans to build an advanced chip fab in northern Taiwan after residents opposed the project.

In a statement obtained by Taiwanese newspaper Liberty News, TSMC said that "after the company's evaluation, under the current conditions, it will no longer consider entering the Phase III of Longtan Park."

TSMC had reportedly planned to construct a foundry capable of producing chips on 2nm and smaller process nodes as part of a 1.58 square kilometer expansion of the industrial park.

TSMC's decision to abandon the project came after residents in the city of Taoyuan took issue with the acquisition of land necessary to expand the park, according to Nikkei Asia.

Semiconductor manufacturing is an enormously resource intensive process and fabs can consume millions of gallons of water a day. The Longtan site is located in Taiwan's densely-populated north, not far from green space and a high school.

While TSMC won't build at the Longtan site, the foundry operator has no intention of slowing down, and is said to be working with local government authorities to identify another location for the fab. The chip behemoth has land available in three other Taiwanese locations.

The Register asked TSMC for comment on the decision; we'll let you know if we hear back.

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