
TSMC Trembles Under 7 nm Product Orders, Increases Delivery Lead Times Threefold - Could Hit AMD Product Availability
TSMC is on the vanguard of chipset fabrication technology at this exact point in time - its 7 nm technology is the leading-edge of all large volume processes, and is being tapped by a number of companies for 7 nm silicon. One of its most relevant clients for our purposes, of course, is AMD - the company now enjoys a fabrication process lead over arch-rival Intel much due to its strategy of fabrication spin-off and becoming a fabless designer of chips. AMD's current product stack has made waves in the market by taking advantage of 7 nm's benefits, but it seems this may actually become a slight problem in the not so distant future.
TSMC has announced a threefold increase in its delivery lead times for 7 nm orders, from two months to nearly six months, which means that orders will now have to wait three times longer to be fulfilled than they once did. This means that current channel supplies and orders made after the decision from TSMC will take longer to materialize in actual silicon, which may lead to availability slumps should demand increase or maintain. AMD has its entire modern product stack built under the 7 nm process, so this could potentially affect both CPUs and GPUs from the company - and let's not forget AMD's Zen 3 and next-gen RDNA GPUs which are all being designed for the 7 nm+ process node. TSMC is expected to set aside further budget to expand capacity of its most advanced nodes, whilst accelerating investment on their N7+, N6, N5, and N3 nodes.
TSMC has announced a threefold increase in its delivery lead times for 7 nm orders, from two months to nearly six months, which means that orders will now have to wait three times longer to be fulfilled than they once did. This means that current channel supplies and orders made after the decision from TSMC will take longer to materialize in actual silicon, which may lead to availability slumps should demand increase or maintain. AMD has its entire modern product stack built under the 7 nm process, so this could potentially affect both CPUs and GPUs from the company - and let's not forget AMD's Zen 3 and next-gen RDNA GPUs which are all being designed for the 7 nm+ process node. TSMC is expected to set aside further budget to expand capacity of its most advanced nodes, whilst accelerating investment on their N7+, N6, N5, and N3 nodes.