TSMC’s A14 Facility in Taiwan Becomes Its Most Expensive Project Yet, Bringing 1.4nm Chips by 2028

Taiwan Semiconductor Manufacturing Company (TSMC) is once again pushing the boundaries of semiconductor technology, with construction now underway on its most advanced and expensive facility to date. According to a report from the Taiwan Economic Daily, TSMC has officially begun work on its A14 plant in Taichung, central Taiwan, which will focus on the 1.4nm process node. The project carries an estimated cost of $48.5 billion, making it the company’s most ambitious investment so far, with production expected to begin by 2028.

Originally planned as a 2nm fabrication site, TSMC decided to upgrade the facility to the 1.4nm Angstrom-class node, marking a major step forward in the global semiconductor race. The decision reflects the company’s long-term strategy to keep its most advanced process technology production in Taiwan, while expanding older process capacity—such as 2nm and above—to its overseas fabs in the United States and Japan.

The A14 complex will consist of four separate fabs, with the first expected to come online by late 2027. Initial mass production capacity is projected at 50,000 wafers per month, a figure that will likely increase as additional fabs ramp up operations.

What makes the A14 node particularly interesting is TSMC’s approach to lithography. Instead of adopting High-NA EUV (Extreme Ultraviolet) lithography like competitors Intel (with its upcoming 14A node) and Rapidus in Japan, TSMC will continue refining its multi-patterning EUV techniques. This decision underscores the company’s confidence in optimizing its existing technologies to achieve higher density and performance without relying on costly new lithography tools.

While the A14 project is firmly focused on Taiwan, it plays into a broader competitive landscape. Rapidus in Japan aims to begin 2nm mass production by 2027, and Samsung continues its aggressive push toward 1.4nm-class technology around the same timeframe. Despite the mounting competition, TSMC maintains a strong lead in both manufacturing capacity and ecosystem support.

Demand for the 1.4nm A14 node is expected to come from both mobile and high-performance computing (HPC) sectors. Key clients such as Apple, Qualcomm, and MediaTek are expected to leverage the node for next-generation mobile chipsets, while NVIDIA and AMD are likely to use it for future AI and data center architectures.

TSMC’s move reinforces Taiwan’s continued role as the epicenter of global semiconductor innovation, even as the company expands internationally. The $48.5 billion investment also highlights the escalating costs of staying at the forefront of chipmaking, as each new generation of process technology demands increasingly complex and capital-intensive infrastructure.

 
Do you think TSMC’s decision to skip High-NA EUV for its 1.4nm node will give it an advantage or hold it back against Intel and Samsung? Share your thoughts below.