Apple to deploy TSMC’s enhanced 3nm process with improved AI performance

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Apple is building on its fortress of AI features by integrating it into its entire Apple product line. 2023 devices powered by A17 Pro and M3 line of chipsets saw a fortified enhancement in AI performance. In 2024, Apple is expected to bring about substantial improvement in AI performance on its 3nm enhanced A18 and M4 line of chipsets expected to power upcoming iPhones, iPads, and Mac devices. Sitting at the goldmine is Taiwan-based TSMC which is expected to receive orders with increased volume by up to 50% from Apple making the latter its largest consumer.

TSMC used a 3nm node to fab the M3 and A17 processors last year bringing AI prowess to the devices. With that being said, TSMC is working on using an enhanced 3nm process for 2024’s M4 and A18 processors. Dubbed as ‘N3E’, these chipsets are expected to get an increased number of cores in their neural engine that should improve its AI performance by manifold. Even though Apple has been maximising its AI performance over the years, it has been managing it without changing the number of cores in the NPU used. However, the 2024 line of chipsets will see an increased number of cores in NPU that will bring about significant changes in their performance.

According to a Daily Economics Times report, TSMC will deploy advanced packaging systems in place such as InFO and CoWoS that should bring about enhanced performance and efficiency as well.

According to TrendForce data, TSMC’s 3nm node single-handedly contributed to over 60% of the total revenue on the <7nm advanced processes. With the advanced packaging and fabrication process in place and consumers like Apple, AMD, and NVIDIA, TSMC will be handling the majority of its business in the 3nm node following surged demand.

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