TSMC 7nm capacity in high demand, lead time triples to six months

DigiTimes reports clients of TSMC's 7nm node will need to wait longer for products as the production capacity is fully booked. Previously, there was a lead time of two months for the production of 7nm chips at TSMC, but now clients will need to take into account a period of almost six months between the placement of the order and product delivery.

The Taiwanese news site heard TSMC will likely expand capacity to meet the strong demand. In particular, smartphone chip makers are very eager to secure 7nm production capacity:

TSMC's clients reportedly have been eager to secure the foundry's 7nm production capacity, as strong demand from the smartphone and for the advanced node has resulted in tight supply with lead time extending. TSMC is expected to set aside more budgets for expanding capacity for its advanced process. GaAs foundry Win Semiconductors also plans to expand production capacity in the second quarter of 2020 to meet ever-increasing compound semiconductor foundry demand for 5G applications. For backend service firm ASE Technology Holding, it is ready to provide FO-AiP and FO-SiP packaging services to meet demand from the 5G sector.