[HN Gopher] TSMC's 3-Nm Push Faces Tool Struggles
       ___________________________________________________________________
        
       TSMC's 3-Nm Push Faces Tool Struggles
        
       Author : cubefox
       Score  : 51 points
       Date   : 2023-04-26 18:18 UTC (4 hours ago)
        
 (HTM) web link (www.eetimes.com)
 (TXT) w3m dump (www.eetimes.com)
        
       | anthomtb wrote:
       | _TSMC is getting help from customer Nvidia in lithography.
       | 
       | The "cuLitho" software and hardware is moving expensive
       | operations to Nvidia GPUs, which will help TSMC deploy inverse
       | lithography and deeper learning, according to C.C. Wei._
       | 
       | This jumped out as interesting to me. How would this relationship
       | work? Is it like, "hey Nvidia, send us a few of those shiny GPU's
       | and some engineers and we'll knock a few bucks off your wafer
       | price"? Or more like, there is a division at TSMC that uses GPU's
       | for process improvements, and they choose their vendor
       | independent of any customer relationships?
        
         | Lramseyer wrote:
         | Probably some Physical Design engineers who looked at the
         | problem, and realized that it was a complex geometry problem
         | that could be sped up buy parallelized computing. So they
         | called up Synopsys (probably not TSMC) and were like "can you
         | port this to CUDA?" The reason NVIDIA is taking credit for it
         | is because Synopsys isn't know for its ability to deliver great
         | software, and the folks at NVIDIA realistically probably wrote
         | it.
        
         | Keyframe wrote:
         | It cuts deeper. Morris Chang is a hero of Jen-Hsun Huang and
         | relationship goes way deeper than customer-vendor relationship.
         | https://www.youtube.com/watch?v=u-x7PdnvCyI
        
       | retskrad wrote:
       | It's funny how when Jony Ive and Steve Jobs were at the helm,
       | Apple users always said performance wasn't everything and what
       | truly matters is the complete package. Nowadays, it has flipped.
       | The company's competitive advantage is their best in class chips.
       | Every year I try high-end Windows laptops and Android phones and
       | they are great to use but their performance aren't up to par and
       | I always go back to Apple.
        
         | xxpor wrote:
         | In the mobile market though, perf can directly translate into
         | battery life.
        
           | davnicwil wrote:
           | Yeah, and it's important in the laptop market too.
           | 
           | The top line performance of the M chips is obviously
           | fantastic _per se_ , but probably more important for most use
           | cases is that performance also being delivered reliably and
           | dependably for a day (ish) on a single charge.
           | 
           | The combo of those two is a massively bigger win for most
           | people than simply a little bit of extra incremental perf Vs
           | the last gen, or whatever.
        
         | carlmr wrote:
         | If you ask me user-facing performance was always a priority.
         | iPhones always feel snappier than Android to me. Android phones
         | often have a noticeable lag when scrolling, the apps take
         | longer to open, the screen freezes more often.
         | 
         | Even with higher performing chips on some Samsung phones, the
         | iPhone always feels faster.
         | 
         | Most consumers don't care about how performant the chip is, but
         | they do care about visible performance.
        
           | ajross wrote:
           | > If you ask me user-facing performance was always a
           | priority.
           | 
           | Go compare a Mac in 1998 vs. a garbage-tier shopping mall
           | Windows machine. Apple almost died for a reason.
        
           | hooverd wrote:
           | Samsung just makes ungodly slow Android UIs. I have stock
           | Android on my Pixel 5 and I haven't noticed any slowness.
        
             | joshstrange wrote:
             | That may be true but here is the issue. An iPhone is an
             | iPhone is an iPhone for the most part, the same cannot be
             | said for Android. I don't have a Pixel but I have a Samsung
             | phone to test with that makes me want to pull my hair out
             | but a similarly old iOS device doesn't. The older iOS
             | device might be slower than a new one but it still
             | outperforms the Samsung.
        
               | smoldesu wrote:
               | > the same cannot be said for Android. I don't have a
               | Pixel
               | 
               | It's a little silly to criticize their argument, then.
               | Android is not a uniform experience because it runs on
               | everything. Your Raspberry Pi can boot Android with the
               | right drivers. It certainly won't be your "iPhone is an
               | iPhone is an iPhone" experience, but that's because the
               | AOSP exists. It's reductive and a non-argument.
               | 
               | Now, you _also_ don 't need to go build a fresh AOSP
               | image or install GrapheneOS to argue in good faith. That
               | being said, if you have to make vendors look like the
               | boogeyman to win an online argument about cell phones,
               | you're likely building a case that works equally well
               | against Apple.
        
               | joshstrange wrote:
               | > That being said, if you have to make vendors look like
               | the boogeyman to win an online argument about cell
               | phones, you're likely building a case that works equally
               | well against Apple.
               | 
               | Samsung is the top/biggest Android manufacturer from
               | everything I can find online and all the other non-Pixel
               | phones are equally trashy (full of crapware, reskinned
               | apps, etc). The Pixel is almost a rounding error in North
               | America coming in at ~2% vs Samsung at ~30% and Apple at
               | about ~54% [0]. I think it's perfectly fair to judge the
               | OS based on the biggest install base.
               | 
               | [0] https://gs.statcounter.com/vendor-market-
               | share/mobile/north-...
        
               | smoldesu wrote:
               | > I think it's perfectly fair to judge the OS based on
               | the biggest install base.
               | 
               | And not the designer of the OS? I guess that's fair
               | enough, but you should be mad at Samsung then. Google
               | licenses Android to thousands of manufacturers, and all
               | of them can modify it. That's a non-argument though, like
               | I was saying. Again, you don't need a Pixel to argue in
               | good faith here, you're just being mad at the entirely
               | wrong party.
        
               | joshstrange wrote:
               | Ahh, I apologize, I misunderstood the point you were
               | making. "Android" is not to blame for "Samsung"'s
               | implementation of it, I agree. What I was trying to say
               | originally (and I'll admit I think we got off-track) is,
               | more or less, that Android is not 1 "thing", it's a bunch
               | of things and some of them are not well done
               | (Samsung/etc) and other are better (Google) but the
               | inconsistency taints the whole OS for me.
               | 
               | I'm coming at this both as a user and as a developer. My
               | iOS apps or web pages generally have a bug or they don't
               | across all of iOS, the same is not true for Android. I
               | pay for BrowserStack first and foremost so I can test my
               | app on the exact make/model/OS of Android that a user has
               | who reports an issue (or that comes from Sentry). There
               | are differences in the iOS versions but I've rarely been
               | bitten by that whereas I have been for Android a number
               | of times (normally due to Samsung vs Google vs Other,
               | even if they are all the "same" Android version).
        
           | kitsunesoba wrote:
           | Responsiveness definitely matters. It's something that users
           | perceive even if they can't name it specifically.
           | 
           | On that note, it might've just been my imagination, but I
           | swear that OS X 10.5/10.6 had a different responsiveness
           | profiles on PowerPC and Intel Macs. Somehow Core 2 Duo Macs
           | that on paper and in benchmarks outstripped the single core
           | PPC G5 Macs they replaced quite significantly on every metric
           | felt noticeably less responsive with more frequent
           | beachballing. Really weird.
        
           | CharlesW wrote:
           | > _If you ask me user-facing performance was always a
           | priority._
           | 
           | You're absolutely correct, every major Apple architectural
           | change has been motivated in large part by performance.
           | 
           | For example, the MacUser cover introducing PowerPC was "
           | _FASTEST EVER!_ PowerPC Macs * Five Times Faster *
           | Outperforms Pentium ". Apple was effectively forced to move
           | to Intel because IBM fabrication caused PowerPC to fall
           | behind performance goals. And of course, performance
           | continues to be a primary motivation behind the move to Apple
           | Silicon.
        
             | radicaldreamer wrote:
             | Performance per watt, not pure performance.
        
               | CharlesW wrote:
               | That's an important part of the performance story, but
               | Apple wouldn't have switched architectures without a
               | clear leap in pure performance even if performance-per-
               | watt was better. Apple waited to transition
               | desktops/laptops to Apple Silicon until they could
               | demonstrate a definitive performance advantage over
               | Intel.
        
         | radicaldreamer wrote:
         | How has it flipped? Apple is still constantly talking about how
         | performance isn't everything and it's about the complete
         | package: iOS, MacOS and the accessory and app ecosystem.
        
         | caycep wrote:
         | It's not like the Windows laptops are great on the design part
         | either, witness all the threads complaining about Windows 11...
        
         | wmf wrote:
         | Everyone will tout performance when they're ahead in
         | performance but that's not why customers are really buying. If
         | the iPhone was slower than Qualcomm people would still buy
         | iPhones. Likewise with Macs.
        
           | cubefox wrote:
           | There are simply diminishing returns from increased
           | performance. Smartphones already feel pretty responsive for a
           | while now, e.g. in terms of app start-up time.
        
         | joshstrange wrote:
         | I disagree, the whole package is still my top priority, it's
         | just that Apple is winning in performance (aside from
         | GPU/graphics) and UI/UX right now. I think Apple has stumbled
         | on UI/UX in the past fews years but I still feel they are
         | leagues ahead of the competition. Windows and Android still
         | drive me crazy and feel substantially worse in UI/UX than
         | anything Apple has put out.
        
           | LeanderK wrote:
           | my girlfriend recently had ads in the browser from microsoft
           | urging her to use bing for a month to earn a few dollars in
           | amazon credit. I was baffled how you can cripple the UX of
           | your flagship product without any respect to it, and in such
           | a cheap, tasteless way.
        
             | airstrike wrote:
             | so install firefox + uBlock Origin for her?
        
               | flangola7 wrote:
               | The ads are in the browser interface itself
        
               | LeanderK wrote:
               | also I wasn't really talking as if there's not fix for
               | it, but the sabotage of MS on the UX of their flagship
               | product. It feels cheap and not pleasant to use if you're
               | bombarded with ads and stupid cortana-stuff.
               | 
               | I really don't like the painting of business leaders as
               | heroes, but here it feels a little bit appropriate: I bet
               | steve jobs would have fired you on the spot for this. And
               | the managers under him would have never dared to do this
               | and still don't.
        
             | radicaldreamer wrote:
             | The people building these things aren't using them (at
             | least not in the standard user configuration)... or they
             | don't have the ability to stop these things from going out.
        
           | cubefox wrote:
           | I thought Google had generally great UI, even if Apple might
           | be a bit better.
        
         | NicoJuicy wrote:
         | Are you comparing with similar cost devices?
        
       | sigmar wrote:
       | >At present, we believe N3 yields at TSMC for A17 and M3
       | processors are at around 55%
       | 
       | What does that "55%" refer to precisely? Wafer yield? Isn't 55
       | quite low?
        
         | GeekyBear wrote:
         | > Isn't 55 quite low?
         | 
         | When Samsung lost Qualcomm as a customer for 4nm Snapdragon 8
         | Gen 1 chips, Samsung's yield was said to be about 35%.
         | 
         | https://www.sammobile.com/news/samsung-foundry-4nm-yield-sna...
        
         | PaywallBuster wrote:
         | you didn't read the whole line
         | 
         | > 55% [a healthy level at this stage in N3 development], and
         | TSMC looks on schedule to boost yields by around 5+ points each
         | quarter.
        
         | wmf wrote:
         | 55% of the dies on each wafer are good. That does sound like
         | low yield.
        
         | [deleted]
        
       | neltnerb wrote:
       | Seems the server went down real fast.
       | 
       | https://web.archive.org/web/20230426182003/https://www.eetim...
        
         | cubefox wrote:
         | It seems to be back
        
       | ginko wrote:
       | 3 Newton-meter?
       | 
       | edit: This was a comment on the incorrect capitalization in the
       | title. SI units are case sensitive 1 Nm != 1 nm. HN should really
       | stop the autocapitalization of titles.
        
       | helf wrote:
       | [dead]
        
       | AdamH12113 wrote:
       | This is a small thing, but it's a bit of a pet peeve --
       | capitalization matters in SI units. A capital N is a newton, the
       | unit of force. In the EE Times headline the N is correctly
       | lowercased to spell "nm" -- nanometers.
       | 
       | See also: "mHz" being used to mean "megahertz" when it actually
       | spells "millihertz". It's rarely ambiguous, but it's still wrong.
        
         | epolanski wrote:
         | "Nm" is the unit of measurement of torque.
        
         | airstrike wrote:
         | HN "fixes" capitalization upon submission... but if the user
         | goes back and edits the title ex-post, it respects those
         | capitalization decisions.
         | 
         | OP probably doesn't know that or did not notice the
         | capitalization
        
           | cubefox wrote:
           | It seems I can't edit it anymore now.
        
         | amalcon wrote:
         | It's a little more problematic than usual in this case because
         | a Nm would then be a newton-meter, which is a joule, which is
         | not only common in general but relevant to electronics.
        
       | npunt wrote:
       | In case one is using this info to make purchasing decisions, 3nm
       | is a big improvement from today's leading edge 5nm process in
       | speed, density, and power consumption [1]. We've been on 5nm
       | variants for about 4 years now, and though each year brought
       | gains, they were more incremental.
       | 
       | In Mac terms, this means M2->M3 will be bigger step up than
       | M1->M2. Apple also delayed their next-gen raytracing GPU from
       | last year, so it's likely that will come in as well. However with
       | the difficulties of manufacturing, and Apple prioritizing
       | iPhones, it's not clear whether we'll get any M3 Macs this year.
       | 
       | [1]:
       | https://www.tsmc.com/english/dedicatedFoundry/technology/log...
        
         | cubefox wrote:
         | Transistor density doesn't really matter by itself. What
         | matters is that density influences speed, power consumption,
         | and price. Historically all these have improved exponentially
         | with exponentially increasing transistor density [1]. Yet:
         | 
         | > Power and Performance were the first two metrics to "fall
         | off" the Moore's Law curve. Transistor power reductions slowed
         | nearly 20 years ago--each successive node generally reduced
         | active and standby (leakage) current, but not at the 2X
         | reduction per node. Transistor performance gains slowed shortly
         | after; again, each node is generally faster, but not by 2X.
         | 
         | Moreover:
         | 
         | > Where Moore's Law has slowed or even reversed, however, is
         | the cost per component. Doubling density used to cut the cost
         | per transistor in half, which was the primary enabler of the
         | electronics revolution. Moore's Law meant we'd get twice the
         | number of transistors (which were faster and less power-hungry)
         | for the same cost.
         | 
         | > As the chart (Fig. 2) shows, this began slowing at the 40-nm
         | node, and virtually stopped when the industry moved to FinFETs.
         | New nodes enable "close-to-Moore" chip-size scaling, but this
         | is nearly completely offset by exploding wafer-fabrication
         | costs. Various analyses show fabricated wafer costs increasing
         | 3-5X over the 28-nm node, with 5-nm wafer costs approaching
         | $18K each.
         | 
         | There is also the fact that SRAM scaling has almost stopped
         | with TSMC's N3 [2].
         | 
         | [1] https://www.electronicdesign.com/industrial-
         | automation/artic...
         | 
         | [2] https://fuse.wikichip.org/news/7343/iedm-2022-did-we-just-
         | wi...
        
       | mdasen wrote:
       | It'll be interesting to see how this plays out over the next year
       | or two.
       | 
       | A lot depends on how well TSMC, Samsung, and Intel execute.
       | Intel's roadmap has had Intel 4 happening in 2023, but it's
       | possible that Meteor Lake will be pushed back a bit and it's
       | looking like Intel won't be making high-end Meteor Lake
       | processors. Intel also has RibbonFET and 20A on its roadmap for
       | 2024/2025. If TSMC can't meet Apple's 3nm demand in 2023, it
       | seems likely that only Apple will have 3nm processors in late
       | 2023. Given that it was 2 years between Apple shipping 5nm and
       | AMD shipping 5nm, it's not out of the question that AMD wouldn't
       | get 3nm until late 2025 - and TSMC wasn't having trouble meeting
       | Apple's 5nm demand in 2020. That leaves a ton of time for Intel
       | to close the gap.
       | 
       | If TSMC is having so much yield trouble with 3nm, it seems
       | reasonable to think that TSMC might not be able to keep up its
       | advantage. Of course, one could also argue that Intel's roadmap
       | might simply be bluster. That's why I think it will be
       | interesting to see how this will play out. TSMC has done very
       | well over the past decade while Intel has faltered. If Intel is
       | able to get RibbonFET and 20A out in the next couple years, Intel
       | might regain a nice lead.
       | 
       | If Intel can get its 20A out in 2024, it seems like that would
       | put them solidly in the lead again and put a damper on both AMD
       | (generally) and data-centers moving to ARM. AMD has seen a huge
       | rise in part due to Intel's fab issues offering them a huge lead.
       | ARM processors have also seen an opening via Intel's fab
       | weakness. If Intel gets back to having superior fabrication, we
       | might get to a market where Intel takes back the gains that ARM
       | and AMD have seen in some areas.
       | 
       | But a lot of this depends on how well companies execute over the
       | next couple years. Roadmaps are one thing. Processors in people's
       | hands are another.
        
         | samus wrote:
         | We are getting closer and closer to physical limitations of
         | current microchip technology. Even TSMC starting to slip
         | schedules is not really surprising.
        
           | cubefox wrote:
           | When they are really getting close to physical limits,
           | generational improvements will also be smaller. Then it is
           | probably easier for others to get close TSMC. Currently being
           | (e.g.) two years behind TSMC means being also substantially
           | behind in performance. But when improvements slow down, such
           | a two-year lag may not be so substantial anymore in terms of
           | performance.
        
         | 2bitencryption wrote:
         | Can someone help me understand something about these
         | "roadmaps", the roadmaps that go out 5+ years and define the
         | path of transistor shrinkage?
         | 
         | What I don't understand is... what's preventing a chip fab from
         | leapfrogging a transistor size? Why must there be a gradual
         | process, planned year by year?
         | 
         | If one manufacturer has even a modest lead, can they use this
         | lead to invest in two generations down the line, to keep their
         | lead cemented?
         | 
         | Does the technology that supports X nm transistors become an
         | input to building X-1 nm transistors? Or is each new generation
         | like starting all over again?
        
           | opwieurposiu wrote:
           | In the 70s and 80s, these leapfrog events would sometimes
           | happen. One fab would find a way to get a huge lead and
           | others would go bust. A chip would have 10 or so masks and a
           | wafer might take a week to go through the fab before you
           | could fully test it.
           | 
           | Nowadays there are 80+ masks and a wafer takes 4+ months to
           | go through the fab. There may be 100k process parameters to
           | tune, and if any one of those gets too far off your yield
           | goes to zero. Finding process improvements is more difficult
           | with these slow iterations and everything is so tiny now it
           | is a miracle the chips work at all. Gradual improvement is
           | all that is left.
        
           | 988747 wrote:
           | [dead]
        
       | _hypx wrote:
       | This is something I've noticed for a while now: All of the major
       | semiconductor manufacturers use the same set of tooling. In
       | particular, they all use EUV lithography machines from ASML. So
       | how can any one company maintain any sort of sustained lead? As a
       | first order approximately, all of them should have the same level
       | of fabrication capabilities. If TSMC tries to push too fast,
       | they'll run into major challenges. And if they figure something
       | out, their competitors should match them in short order.
        
         | npunt wrote:
         | Semiconductor tooling is of a level of complexity that there's
         | a huge amount of skill, institutional knowledge, process, and
         | some art in getting them doing what you want _at yields that
         | pay off_ and _on fast schedules_. Lead is maintained by having
         | all of that. They 're also extremely expensive ($10b+ to get to
         | leading edge node), which is a huge barrier to entry and just
         | about requires nation-state help, as is the case in Taiwan,
         | Korea, and the US.
        
         | dvt wrote:
         | That's like saying "all carpenters use the same hammers, how
         | can one be better than the other?"--there's a lot more than
         | goes into chip manufacturing than just the lithography
         | machines. Not to mention that the lithography machines
         | themselves are highly customizable and can _technically_ work
         | with different optical systems (not just the Carl Zeiss ones)
         | and with different wafers (not just silicon ones), so there 's
         | a lot of room for experimentation.
        
           | _hypx wrote:
           | But we don't live in a world where we expect carpenters to
           | double the complexity of their output every 2 years. At some
           | point, the theoretic limits of the tooling becomes a thing.
           | 
           | I'm pretty sure you are confused about the optical system.
           | All of the lithography machines have the same setup inside
           | because only one company makes them (ASML). The next big
           | upgrade involves upgrading the optics, but no one has that
           | upgrade yet. We know, because again only company makes them
           | and they haven't produced them yet.
        
             | jjoonathan wrote:
             | https://youtu.be/-EhDlXx3okU?t=203
             | 
             | No, that's not how it works. Dialing in a process is
             | extremely difficult, expensive, and iterative, and a fab
             | has to do _a lot_ of dialing in to make a billion chips per
             | year that each have a billion transistors which will do a
             | billion calculations per second for a billion seconds with
             | zero errors. Give or take a few orders of magnitude here or
             | there. It 's a _long_ tail that has to be chopped off -- so
             | long that the number of players capable of chopping it off
             | has gone from three digits to 3.
        
               | panarky wrote:
               | _> It 's a long tail that has to be chopped off_
               | 
               | Those ASML litho machines are astoundingly complex, with
               | more parts and a more complex supply chain than a Boeing
               | or Airbus commercial airliner.
               | 
               | So many parts that each part and subassembly must have an
               | outrageously long mean time between failure, something
               | like 16 years, in order for the entire machine to be
               | sufficiently reliable.
               | 
               | No wonder only one company is able to make them.
        
             | dvt wrote:
             | > All of the lithography machines have the same setup
             | inside because only one company makes them (ASML).
             | 
             | I've definitely read papers where universities fiddle with
             | the internals of ASML machines, including the optics, to
             | try out different things. I'd imagine R&D departments at
             | Intel, Nvidia, etc. probably do the same, but I'm no
             | expert.
        
         | davnicwil wrote:
         | I am far from an expert, mostly parroting what I've heard from
         | actual experts, but I think it gets back perhaps to a similar
         | question of why doesn't _ASML_ 'just' start a fabrication
         | business since they already have the tools, and at cost no
         | less?
         | 
         | The answer to that seemingly no brainer question is the exact
         | same reason that TSMC have an edge over other fabs. There's a
         | massive, incredible amount of complexity in the fabrication
         | process, in particular doing it with economical yields - it's a
         | completely separate business really.
         | 
         | In fact it might be the latter that's the least copyable part.
         | For sure once competitors see that something is possible, some
         | valuable information has been exposed, but doing that
         | economically at scale is another matter entirely - and that's
         | where there's a business to compete with. That can't simply be
         | reverse-engineered or copied because the myriad details of the
         | process are incredibly closely guarded IP!
        
           | akiselev wrote:
           | Even then getting ASML equipment at cost only saves a few
           | hundred million. They'd still be left with almost $20 billion
           | in other expenses like the hundreds of millions in robotics
           | and material handling equipment (the most precise in the
           | world), hundreds of millions in HVAC and electrical equipment
           | (heavily specialized to fabs), hundreds of millions in
           | chemical cleaning (ditto), hundreds of millions in structure
           | dampening, hundreds of millions in doping and chemical vapor
           | deposition equipment, all the permitting and civil
           | infrastructure to support the fab (water and power), and so
           | on and on for a very long list.
           | 
           | The core competency of a semiconductor fab is getting all of
           | that equipment to work together. It's more systems
           | engineering (in the old school NASA sense) than anything
           | else.
        
         | j_walter wrote:
         | The tooling is only part of the equation...go read "Chip Wars"
         | and it will give you a lot of insight into why TSMC is
         | currently the leader. Your statements make a lot of assumptions
         | and the landscape of semiconductor manufacturing is a lot more
         | complex than you seem to realize.
        
         | 1123581321 wrote:
         | The leading fabs have a closer relationship with TSMC that gets
         | them working machines sooner and deeper knowledge transfer from
         | staff. Plus what others have written.
        
         | mdasen wrote:
         | First, I'd say that sometimes companies don't use the same
         | tooling even if they could. One of the things that gave TSMC an
         | advantage was that they did push EUV while Intel didn't. Intel
         | did make some investments in EUV, but pushed off the
         | commercialization of it. So even when companies ca use the same
         | tooling, sometimes people think something is too expensive and
         | that they can get more out of something cheaper.
         | 
         | Beyond that, I'd say that we don't really want companies to
         | have giant moats against competition. TSMC can keep an
         | advantage as long as it keeps innovating. Having something a
         | year before others can be important. Being able to produce
         | better yields is important. Qualcomm and AMD wanted to move a
         | bunch of their production to Samsung, but were disappointed in
         | the yields despite Samsung having "the same process."
         | 
         | > As a first order approximately, all of them should have the
         | same level of fabrication capabilities
         | 
         | Yes, but "approximately" is doing a lot of heavy lifting there.
         | Each car manufacturer has "approximately" the same quality and
         | value car. Windows/macOS/Linux are all "approximately" the
         | same. One could easily reply that fabs are undifferentiated
         | products and that is true to an extent, but there's a reason
         | why Qualcomm and AMD went back to TSMC tail between their legs.
         | 
         | > if they figure something out, their competitors should match
         | them in short order.
         | 
         | Again, I'd say "short order" is doing a lot of heavy lifting
         | there. Are we talking a year? Two? Even when companies are
         | using TSMC, they often can't get the latest process for a year
         | or so after Apple because TSMC can't spin up capacity that fast
         | - never mind a competitor that's trying to match TSMC.
         | 
         | I think in basically any industry, it's hard to keep a lead
         | unless you continue executing well. Of course, one could argue
         | that it's easy to keep a lead - just not over a couple other
         | extremely well-run companies. Intel, Samsung, and TSMC have a
         | huge sustained lead over basically everyone else. Does that not
         | count? It's not like we're seeing lots of companies going
         | around grabbing ASML EUV machines and spinning up even 7nm fabs
         | because it's "easy". Even 5nm has been around for 2.5 years
         | now. In fact, why did AMD wait 2 years to get 5nm if they could
         | have simply bought an ASML machine and started printing the
         | chips? Ok, I should walk back from hyperbole.
         | 
         | In some ways, I simply agree with you: they can't really have a
         | sustained lead without continuing to put in work to stay 3-18
         | months ahead of the competition. However, I'd argue that a 6-12
         | month lead can be pretty big.
         | 
         | Intel is looking to introduce new stuff like RibbonFET (a
         | successor to FinFET) and PowerVia backside power delivery so
         | there's a lot more than "just use ASML EUV machines" and there
         | is a lot of space for companies to innovate and create leads.
         | But we also don't necessarily want companies to have leads that
         | are too durable.
         | 
         | I guess: what is offering a durable lead to companies? Even
         | companies that have well-differentiated products don't really
         | survive well without continuous improvement. Some leads are
         | more durable than others, but the investment and knowledge can
         | be a durable lead.
         | 
         | Heck, look at TSMC's efforts to build a US-based plant. It
         | isn't "just ship them a machine to print chips." They're
         | struggling to make it work despite the fact that there's
         | literally nothing to "figure out" in terms of the technology.
         | They're already producing 5nm chips. Why can't they just start
         | doing that in the US? It's just ASML machines and knowledge
         | they already have! If TSMC can't figure out how to make 5nm
         | chips in the US easily, why would it be easy for another
         | company to be able to produce 5nm chips at a different place
         | just because they could similarly buy ASML equipment and
         | "figure out" whatever TSMC has figured out?
         | 
         | There's a lot more than just being able to order from the same
         | parts bin.
        
           | _hypx wrote:
           | > First, I'd say that sometimes companies don't use the same
           | tooling even if they could. One of the things that gave TSMC
           | an advantage was that they did push EUV while Intel didn't.
           | Intel did make some investments in EUV, but pushed off the
           | commercialization of it. So even when companies ca use the
           | same tooling, sometimes people think something is too
           | expensive and that they can get more out of something
           | cheaper.
           | 
           | They're all on EUV now.
           | 
           | > In some ways, I simply agree with you: they can't really
           | have a sustained lead without continuing to put in work to
           | stay 3-18 months ahead of the competition. However, I'd argue
           | that a 6-12 month lead can be pretty big.
           | 
           | That's my point. That's about as big of a lead you can get.
           | There's nothing one company can do that can't be copied by
           | another.
           | 
           | > Intel is looking to introduce new stuff like RibbonFET (a
           | successor to FinFET) and PowerVia backside power delivery so
           | there's a lot more than "just use ASML EUV machines" and
           | there is a lot of space for companies to innovate and create
           | leads. But we also don't necessarily want companies to have
           | leads that are too durable.
           | 
           | They're all investing in GAAFETs. Their roadmaps look very
           | similar.
        
         | ftxbro wrote:
         | I heard it's so complicated that they have built up a reservoir
         | of institutional knowledge and in-house expertise that would
         | take _ten years_ to reproduce. I 've also heard this as the
         | reason that if China were to capture Taiwan and TSMC intact
         | (however likely that is or not) then they still couldn't run it
         | competently without those people, or without those ten years of
         | more work. I don't know if it's true or not, that's just what I
         | heard.
        
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