Apple IncAAPL CEO Tim Cook eyed building chips in the U.S. for the first time in nearly a decade to reduce dependence on international territories.
Cook said Apple would expand its relationship with crucial supplier Taiwan Semiconductor Manufacturing Company LtdTSM at a TSMC facility under construction in Phoenix in the presence of President Joe Biden and executives from chip companies, Bloomberg reports.
Cook voiced his plans to deepen relations with its existing supplier when the U.S. factory opens in 2024 and as TSMC forms new and deeper roots in America.
TSMC’s Phoenix plant will build Apple silicon chips in most of its devices, Cook said.
“Thanks to the hard work of so many people, these chips can be proudly stamped ‘Made in America,'” he said.
Initially, the plant will only build chips in small quantities for Apple and may use technology inferior to what the company will need for its flagship devices in 2024.
The second factory will make chips with 3-nm, and TSMC’s total investment in Arizona will expand to $40 billion, up from its $12 billion investment for its first factory in Arizona.
The U.S.’s landmark $52 billion federal program to boost domestic chipmaking was a powerful trigger for TSMC.
Price Action: TSM shares traded lower by 1.17% at $78.63 in the premarket on the last check Wednesday.
