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SONY Helping to build and operate a new semiconductor plant built by TSMC

Updated: Jan 20, 2022

TSMC (Taiwan Semiconductor Manufacturing Company) is a semiconductor manufacturing company founded in Taiwan.

Its market capitalization is the 11th largest in the world, surpassing that of other major semiconductor manufacturing companies such as Intel and Samsung.

Why there is now a global shortage of semiconductors?

Since computer chips are now embedded in a wide variety of objects, the semiconductor shortage is having a major impact.

There are multiple factors contributing to the semiconductor shortage. On the demand side, laptop computers are needed to support teleworking due to the Corona disaster, and home video game consoles are experiencing increased sales. Also, they are needed in the automotive industry, where electric vehicles (EVs) and connected cars are being developed.

"The future development of technologies such as automated driving, artificial intelligence, 5G, and the Internet of Things (IoT) are all factors that will increase the demand for semiconductors."

Semiconductor companies' system

The management system of semiconductor companies is that they do not have their own production facilities [fabless]. Manufacturers specialize mostly in design and outsource manufacturing to other companies.

As a result, the manufacture of high-performance semiconductors has come to depend on a few manufacturers. The solution to semiconductor shortage problem depends on their production capacity.

 According to Statistica, TSMC (Taiwan Semiconductor Manufacturing Company) has a 56% share of the semiconductor manufacturing market in the first quarter of 2021. The company's advanced technology is highly regarded and it is leading the market.

Japan's movement

The Sony Group will cooperate in the operation of the factory to be built in Kumamoto on March 28.

The CEO stated,

"This is very important for the Sony Group to ensure a stable supply of semiconductors, and it is also good for Japanese industry as a whole. so we will do what we can to help the new plant get up and running.

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