Microchip Technology Expands Partnership with TSMC to Strengthen Semiconductor Manufacturing Capacity

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Microchip Technology announced it has expanded its partnership with TSMC, the world’s leading semiconductor foundry, to enable a specialized 40 nm manufacturing capacity at Japan Advanced Semiconductor Manufacturing, Inc. (JASM), TSMC’s majority-owned manufacturing subsidiary in Kumamoto Prefecture, Japan. This partnership is part of Microchip’s ongoing strategy to build resiliency in its supply chain. Other initiatives include investing in additional technology to boost internal manufacturing capabilities and capacity, as well as establishing more geographical diversity and redundancy with wafer fab, foundry, assembly, test and OSAT partners.

“Microchip’s reputation for providing responsible and reliable supply management is enhanced with this new TSMC manufacturing path,” said Michael Finley, Microchip senior vice president of worldwide manufacturing and technology. “Customers can have confidence when designing our products into their applications and platforms, with the support of resilient and robust manufacturing capabilities.”

The wafer capacity supply from JASM further strengthens Microchip’s ability to serve a broad base of global customers in a variety of markets including automotive, industrial and networking applications.

“This initiative with Microchip is further proof of TSMC’s commitment to supporting our customers’ long-term growth and innovation,” said Rose Castanares, senior vice president of business management at TSMC North America. “Our expanded collaboration with Microchip will ensure that as leading technologies continue to develop, so will our collective ability to manufacture and deliver those capabilities to global customers when they are needed.”

The TSMC partnership and JASM capacity adds more assurance to the manufacturing landscape, helping reduce Microchip’s potential of disrupted supply by offsetting external factors such as frequently changing business conditions and natural disasters.