Core Viewpoint - TSMC has established itself as the leading player in the foundry industry through strategic technological advancements and expansions over the decades, starting from its inception in 1986 to becoming a dominant force in semiconductor manufacturing [2]. Phase 1 - Initiation - TSMC was founded in 1986 with an initial capital of $48 million, primarily funded by the Taiwanese government and Philips [4]. - The company began production in 1987 using 6-inch wafers and quickly advanced to 3.0-micron technology, marking its first significant production milestone [4][5]. - By 1994, TSMC had developed a 0.6-micron process and achieved a sales increase from NT$2.2 billion to NT$19.3 billion between 1990 and 1994, indicating a robust growth trajectory [7]. Phase 2 - Expansion and Catch-Up - In 1995, TSMC launched its 8-inch Fab III and introduced tungsten plugs, enhancing its manufacturing capabilities [11]. - The company achieved NT$50 billion in revenue in 1998, despite a semiconductor downturn, and began producing 0.22-micron nodes [14]. - By 2000, TSMC's sales grew by 127% compared to 1999, with a compound annual growth rate of 50% from 1992 to 2000 [19]. Phase 3 - Leveling Up and Leading - TSMC's 180nm node positioned it competitively against major manufacturers like IBM and Intel, with a slight edge in the use of fluorosilicate glass (FSG) [24]. - Despite a 32% decline in the semiconductor market in 2001, TSMC's 150nm products still accounted for 21% of sales by Q4 [26]. - The introduction of 130nm technology in 2002 marked a significant milestone, with TSMC adopting copper interconnects and low-k dielectrics [29]. Phase 4 - 300mm and Consolidation - TSMC's 90nm process was the first to achieve full production on 300mm wafers, adopted by over 30 customers in its launch year [37]. - By 2006, TSMC had become the largest foundry globally, with a sales figure 2.5 times higher than its nearest competitor [46]. - The establishment of "GigaFabs" aimed at enhancing manufacturing excellence through automation and efficiency [49]. Phase 5 - HKMG and Expansion - In 2010, TSMC announced the construction of its third 300mm fab, focusing on 40nm and 28nm processes, while also developing high-k metal gate (HKMG) technology [63]. - The introduction of 20nm technology in 2014 required advanced double patterning techniques, showcasing TSMC's commitment to cutting-edge manufacturing [84]. - By 2011, TSMC's monthly capacity exceeded 270,000 wafers, reflecting significant growth despite a challenging semiconductor market [80]. Conclusion - TSMC's journey from a startup to a semiconductor powerhouse illustrates its strategic focus on innovation, capacity expansion, and technological leadership, solidifying its position in the global market [2].