Japanese Semiconductor Firm Rapidus To Rival TSMC With Its 2nm Process, Potentially Seeing Adoption From NVIDIA

Rapidus becomes the first Japanese firm to announce 2nm trial production and integrate ASML’s EUV equipment, potentially gaining a place in NVIDIA’s supply chain.

Rapidus Announces 2nm Trial Production To Occur By 2025, Commercial Production Slated For 2027, Almost Two Years After TSMC

When you look at the general semiconductor dynamics, it won’t be wrong to say that TSMC has a wide lead, taking in orders from all the big tech giants out there. Competition from the likes of Intel Foundry and Samsung isn’t looking too good, given that both companies are witnessing organizational flaws, which has given TSMC a clear edge. However, Rapidus, which is said to be an emerging semiconductor player, has announced the integration of ASML’s EUV scanners in a facility in Japan and has also revealed that 2nm production is on track, ready to compete with TSMC.

In a post by Nikkei Asia, Rapidus revealed that ASML’s EUV equipment will be installed by the end of December, and is said to be a revolutionary development for Japan’s semiconductor industry, given that the nation is one of the exclusive ones to receive ASML’s cutting-edge hardware. In terms of 2nm progress, Rapidus has revealed that the firm will start pilot production by April 2025, and commercial development is expected to commence by 2027.

Interestingly, NVIDIA has always sought a potential semiconductor partner alongside TSMC but hasn’t seen a viable option. However, Team Green has stated that they won’t rule out partnering up with Rapidus for its 2nm chips (via Ctee), given that the firm has shown impressive yield rates and node performance. Given that NVIDIA desperately needs to diversify its supply chain, opting for Rapidus is undoubtedly an expected move here, given that the firm manages to deliver down on expectations.

Rapidus has already started to witness industry adoption for its 2nm nodes, mainly from IBM, but several companies have shown interest in acquiring semiconductor supply from the Japanese fab maker. It will be interesting to see how the company evolves in the future, and it won’t be wrong to say that Rapidus surely has the potential to compete with mainstream giants like TSMC.