The board of directors of Taiwan Semiconductor Manufacturing Co. Ltd (TSMC) has approved an increase in spending of $ 2.89 billion to increase capacity, the world’s largest contact chip maker said on Friday, Reuters quoted Agerpres .
The company thus responds to the global semiconductor shortage that particularly affects car manufacturers.
The board approved the expenditures “for the purpose of installing advanced technology capabilities,” the Taiwanese company said in a statement, which did not provide additional information.
TSMC, whose customers include US giants Apple Inc. and Qualcomm Inc., has said it is working hard to increase productivity and reduce chip shortages worldwide, but supply problems are likely to continue in 2022.
TSMC announced this month that it plans to invest $ 100 billion over the next three years to increase capacity at chip factories.
Taiwan’s central role in chip production came to light during the coronavirus pandemic (COVID-19), when there was a significant increase in chip demand from companies producing smartphones, video game systems and other tech devices. . Companies such as TSMC benefit from this request.
This year, TSMC shares rose almost 10%, and its market capitalization stands at about $ 542 billion. In May, the company announced plans to build its own $ 12 billion plant in Arizona, USA.
Foreign governments and companies are also putting pressure on Taiwan to resolve the chip crisis for the auto industry. Automakers around the world, including Renault, Ford Motor, Subaru Corp., Toyota Motor Corp., Volkswagen AG, Nissan Motor and Fiat Chrysler, are shutting down assembly lines due to a lack of chips for the auto industry.
This chip supply shortage, which affects carmakers around the world, is the result of a combination of factors. Automakers shut down factories for two months during last year’s COVID-19 pandemic and canceled chip orders.
At the same time, however, the demand for chips has increased in the electronic equipment industry, as people have been forced to stay at home, which has led to increased sales of laptops and video game consoles. Now car manufacturers have to compete for chips with electronics manufacturers.
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