{"id":611802,"date":"2023-12-12T00:00:00","date_gmt":"2023-12-12T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2023\/12\/12\/the-tech-industry-is-racing-to-take-the-lead-in-nanochip-market-india-wants-a-piece-of-the-apple-manufacturing-pie\/"},"modified":"2023-12-12T00:00:00","modified_gmt":"2023-12-12T00:00:00","slug":"the-tech-industry-is-racing-to-take-the-lead-in-nanochip-market-india-wants-a-piece-of-the-apple-manufacturing-pie","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2023\/12\/12\/the-tech-industry-is-racing-to-take-the-lead-in-nanochip-market-india-wants-a-piece-of-the-apple-manufacturing-pie\/","title":{"rendered":"The tech industry is racing to take the lead in nanochip market + India wants a piece of the Apple manufacturing pie"},"content":{"rendered":"<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"> <strong>The future of smartphones and AI \u2014 and a USD 500 bn industry \u2014 is up for grabs.<\/strong>Intel, Samsung, and the Taiwan Semiconductor Manufacturing Company (TSMC) are in a <a target=\"_blank\" href=\"https:\/\/www.ft.com\/content\/e9be182f-ec9e-4426-9cd2-d5181fd64778\" style=\"\" rel=\"noopener\">race<\/a> to make the fabled 2-nanometer processor chip. Whichever company leads the race to produce a functioning chip will effectively dominate the industry.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>TSMC is (unsurprisingly) the analyst favorite as of now:<\/strong> TSMC \u2014 the world\u2019s largest semiconductor manufacturer \u2014 has already completed testing for their 2-nanometer chip prototype, with results to show their biggest clients, which include Apple and Nvidia, reports the <a target=\"_blank\" href=\"https:\/\/www.ft.com\/content\/e9be182f-ec9e-4426-9cd2-d5181fd64778\" style=\"\" rel=\"noopener\">Financial Times<\/a>. As the demand for data center chips that power generative AI services like ChatGPT grows, so will the already lucrative field, worth <a target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/news\/articles\/2023-06-13\/tsmc-nears-500-billion-value-as-investors-pile-into-chips\" style=\"\" rel=\"noopener\">USD 500 bn<\/a>, as of last year.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>\u2026but Samsung is gaining ground.<\/strong> Samsung and Intel are hoping to close the gap, with Samsung trying to undercut TSMC by snagging Nvidia as a major client, two sources confirmed to the FT. The question, according to US hedge fund analyst James Lin, is whether Samsung can execute the migration to 2-nano better than TSMC, of which he and other experts are doubtful.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Intel has high hopes as well,<\/strong> making bold claims about going into production by the end of 2024. This would put it ahead of its rivals, but confidence in the US company\u2019s performance isn\u2019t much to bet on. TSMC plans to enter mass production in 2025, with its first batches going to Apple for new iPhone models. High performance computing chips for PCs will come later.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Why the fuss? <\/strong>These processor chips are coveted because of their size. Since these small devices, which power smartphones, AI, and data centers, are more powerful the smaller they are. Since the smaller the transistors are on a chip, the lower its energy consumption and the faster its speed.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>How small is a 2-nanometer transistor, really?<\/strong> In lieu of a visual comparison, imagine your typical garden ant. Pretty small, right? Those bad boys stand at 3-5 mn nanometers, over a mn times bigger than these microprocessor components. A single virus cell stands at 14 nanometers. Even a strand of DNA is just a bit wider, standing at 2.5 nanometers. 50 bn of these transistors can fit on an area the same size as your <a target=\"_blank\" href=\"https:\/\/time.com\/collection\/best-inventions-2022\/6228819\/ibm-two-nanometer-chip\/#:~:text=The%20Smallest%20Chip%20Ever&text=IBM's%202%2Dnanometer%20(nm,no%20bigger%20than%20your%20fingernail.\" style=\"\" rel=\"noopener\">fingernail<\/a>.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\">\n<hr style=\"height:2px;border-width:0;color:gray;background-color:gray\">\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"> <strong>As <\/strong><strong>US-China relations remain icy, India is trying to position itself as a top <\/strong><strong>destination for Apple to reroute its manufacturing capabilities<\/strong>, reports the <a target=\"_blank\" href=\"https:\/\/www.ft.com\/content\/d3977a01-6c74-4ff8-8b3b-c6884d886350\" style=\"\" rel=\"noopener\">Financial Times<\/a>. While China is likely to remain the company\u2019s main manufacturing hub, India could become a \u201cChina plus one\u201d market, although the country has several issues with its business environment that require addressing, the FT says. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>The big questions: The dynamics + demographics of the labor market.<\/strong>Accommodation is a contentious issue, says the biggest manufacturer of the iPhone, Foxconn. The issue of living quarters must be settled where executives are hoping Indian workers will prove as willing as Chinese workers to leave their families and homes for the job. Women are also key contributors to the job market, particularly in electronics manufacturing, but are at a disadvantage in many ways due to social stigma and commuting safety questions. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Remember: This shift has been months in the making.<\/strong> Apple\u2019s main suppliers have increasingly been <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/889181ea-6920-43e5-9a9d-13d501c2f46c\" style=\"\" rel=\"noopener\">moving away from China<\/a> as prolonged issues with covid-19 led to <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/43127ddd-d0f1-42f1-8a4d-3296bbeb8a15\" style=\"\" rel=\"noopener\">supply chain disruptions<\/a> and <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/d58d34cd-ecc3-4cbb-baa4-5cb2214bb660\" style=\"\" rel=\"noopener\">worker protests<\/a> at the end of last year. In addition to looking at India as a potential alternative manufacturing destination to China, Foxconn and Pegatron also had their eyes on Vietnam, which had already begun attracting several other Apple suppliers. <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Apple\u2019s move to India comes on the back of deteriorating US-China relations<\/p>\n","protected":false},"author":1,"featured_media":611803,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1],"tags":[7094,633,638,577],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-611802","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-ai","tag-enterprisepm","tag-for-your-commute","tag-samsung","wpautop","entry"],"acf":{"mongo_id":"44d4a25d-9843-4467-927f-68fe978abca3","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2023\/12\/803.jpg","photo_position":"above","homepage_title":"","full_issue_title":"","related_issue":[611797],"teaser":"Apple\u2019s move to India comes on the back of deteriorating US-China relations","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2023\/12\/.f8120301-3cd0-4424-baf2-db97420bb5fc.mp3"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - 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