Asia Takes Centre Stage As Nanometer Chips Redefine Semiconductor Sector

Nano-scale chips, especially those smaller than 10 nm, are revolutionizing the semiconductor industry, and as the semiconductor landscape continues to evolve, the focus of the industry is shifting to Asia, according to a report on Monday. Taiwanese chipset giant TSMC, the world's largest semiconductor manufacturer, has announced developments in 2nm technology and new additions to the 3nm family. TSMC's 2nm technology is expected to enter production in 2025.

Samsung plans to mass-produce 2nm chips by 2025 and 1.4nm by 2027, capitalizing on the success of TSMC's 3nm technology. To support this, Samsung plans to double production of sub-10nm chips by 2027, including a new production line in Texas, USA.

Intel's chipset giant's 7nm equivalent 4 processors are ready for production, while Intel's 5nm equivalent 3 processors are expected to enter mass production in late 2023.

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"The nanoscale chip revolution is here to rewrite the rules of technology. For example, 5nm chips are enabling artificial intelligence, redefining speed and efficiency in the industry," said Kiran Raj, head of the disruptive technologies practice at globaldata, a leading data and analytics company.

"They will enable creative artificial intelligence, make forward-looking computing more flexible, enable intelligent consumer devices, power future autonomous vehicles, and have an impact on healthcare and quantum computing," he said. Raj added.

IBM's 2nm chip contains 50 billion transistors in an area the size of a fingernail.

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"TSMC is firmly dominating the semiconductor industry, has transitioned to the revolutionary 5nm and 4nm processes and is ready to usher in a new era of 3nm mass production by the end of the year," said Raj.

At the same time, Samsung is struggling with significant manufacturing hurdles with less than 50% production at the 5nm node, a stark contrast to TSMC's achievements. Intel continues to fall behind, highlighting stiff competition, the report says.

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