TSMC’s cutting-edge A16 chip, built on its most advanced angstrom-level process, is already generating significant buzz, even before its official mass production.
Industry insiders report that Apple, a major TSMC client, has secured the first round of production capacity. Interestingly, OpenAI, a leading force in the artificial intelligence field, has also reserved A16 capacity. This move is driven by OpenAI’s long-term need for custom-designed AI chips.
The involvement of such a prominent player in the AI sector is expected to boost the visibility and demand for TSMC’s AI-related orders.
OpenAI has reportedly shifted its strategy for producing its custom AI chips. Industry sources reveal that the company initially engaged TSMC to establish a dedicated wafer fabrication facility. However, after assessing the potential benefits, OpenAI shelved those plans.
Instead, the company has opted for a collaborative approach, partnering with American companies like Broadcom and Marvell for its ASIC chips. This strategic move is significant, with OpenAI projected to become one of Broadcom’s top four customers.
The collaboration between OpenAI and American chip designers Broadcom and Marvell has significant implications for TSMC. Both Broadcom and Marvell have long-standing relationships with TSMC as customers. Now, the ASIC chips they’re developing with OpenAI’s input are slated for production using TSMC’s advanced manufacturing processes. Specifically, these chips are expected to be fabricated using TSMC’s 3nm family of processes and the upcoming A16 process, aligning with the companies’ chip design roadmaps.
TSMC is setting its sights on a major technological leap with its A16 process, the most advanced chip manufacturing technology the company has revealed to date. This process node marks TSMC’s entry into the “Angstrom era” of semiconductor fabrication, representing a new level of miniaturization.
Mass production using the A16 process is expected to commence in the second half of 2026, with TSMC’s Taiwan facilities leading the way.
