AI demand is strong, and TSMC-backed VIS's first wafer fab in Singapore is at full capacity as soon as it begins production.

BlockBeats news, September 28 - According to Nikkei, TSMC (TSM.N) portfolio chipmaker VIS held a launch ceremony on Monday in Singapore for its first advanced chip manufacturing plant and is already looking to build a second facility.

Driven by the artificial intelligence infrastructure boom, the new plant's capacity was "sold out" as soon as it began production. The wafer fab, named VSMC, is a joint venture between VIS and European chipmaker NXP. The plant started trial production in June, taking only 18 months from construction to trial production, far faster than the more than two years typically required to build a chip factory.

VIS said the yield of the first batch of chips reached at least 99%. The plant is scheduled to begin mass production in early 2027. The facility will also help TSMC produce key "interposers" for advanced chip packaging, serving as substrates to connect different types of chips, for leading AI chipmakers such as Nvidia, Google, and Broadcom. TSMC is VIS's largest shareholder, with a stake of about 19%.