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TSMC demonstrated its latest generation of chip manufacturing technology on Wednesday, stating that it expects to produce smaller and faster chips without the need for the expensive new machines from ASML. TSMC, which manufactures chips for companies like Nvidia, Apple, and Google, showcased improvements in two chip manufacturing technologies: one known as A13, which is expected to start production in 2029 and may be used for artificial intelligence chips; and another known as N2U, a more economical option that can be used for manufacturing smartphones, laptops, and artificial intelligence chips.
For all the technologies demonstrated on Wednesday, the company plans to leverage more potential from its existing extreme ultraviolet lithography (EUV) machines from its supplier ASML in the Netherlands instead of switching to the next generation of high numerical aperture EUV machines, which cost up to $400 million each - around twice the cost of the older machines. TSMC's Chief Operating Officer and Senior Vice President Kevin Zhang stated: "I believe this is an area where our R&D team excels in leveraging the current EUV technology and has set a positive roadmap for technology scaling. This is definitely an advantage."
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