TSMC is currently mass-producing 5nm chips and the 3nm process is still in development. However, the company is already looking forward to the 2nm manufacturing process. According to recent reports, the company has promoted four of its staff over the past few months. These promotions are to enable these staff to have more input in the 2nm manufacturing process research and development. Last year, the company promoted two deputy general managers to senior deputy general managers. At the time, it also promoted several senior executives from senior director to deputy general manager.
Now, the company is on another promotion spree. Two more executives have been promoted to the position of deputy general managers. Interestingly, one of the promotions is directly linked to the research and development of the 2nm manufacturing process. Geoffrey Yeap is now a senior director of the 2nm process platform R&D. This position did not exist before now. However, it is important to create the position as the company starts focusing on the 2nm process.
Generally, TSMC has a very high academic requirement for its management staff. The two newly promoted deputy general managers both have doctoral degrees. With only a few months gone in the year, the company will probably promote more staff to work with the 2nm team.
TSMC capital expenditure in 2020 exceeds $18 billion
TSMC is the world’s largest and most advanced mobile chipmaker and the Taiwanese company is doing quite well. According to a recent report, TSMC’s revenue hit a new high last year – reaching $45 billion. However, the company’s expenditure on advanced process technology production and process research and development has also increased. A recent report from TSMC shows that its expenditure in 2020 hit NT$507.24 billion ($18.174 billion). This is a 10.2% increase from its expenditure of 2019.
In the financial report for the fourth quarter of 2019 released on January 16 last year, TSMC’s management predicted that its 2020 capital expenditures would be between $15 billion and $16 billion. However, they made adjustments in the financial report for the second quarter of last year. It was raised to $16 billion to US$17 billion, and the final $18.174 billion still exceeded the adjusted upper limit.
However, as TSMC expands its 5nm process capacity, installs equipment for the 3nm process chip factory, and advances the research and development of advanced processes, TSMC’s capital expenditure this year will be even higher. They expect capital expenditures of $25 billion to $28 billion this year, which is much higher.