TAIWAN Semiconductor Manufacturing Co. Ltd. (TSMC), the world’s top contract chipmaker, said yesterday it has signed an agreement with the Nanjing City government to invest US$3 billion building an advanced wafer manufacturing facility in the city.

    The announcement comes after TSMC said in December it planned to set up its first wholly owned advanced fabrication plant on the Chinese mainland with a US$3 billion investment, highlighting the growing importance of the Chinese mainland market for semiconductor giants.

    “With our 12-inch fab and our design service center in Nanjing, we aim to provide closer support to customers as well as expand our business opportunities on the mainland in step with the rapid growth of the Chinese semiconductor market over the last several years,” said TSMC chairman Morris Chang in a statement.

    The move underscores how TSMC aims to go it alone to protect its technological lead even as rivals, namely from the mainland, are busy buying smaller players.

    (SD-Agencies)