Rapidus recently announced that it will start trial production of 2nm chips in 2025 and plans to achieve commercial production in 2027, which is nearly two years behind TSMC. However, Rapidus becoming the first company in Japan to integrate ASML's advanced EUV lithography machine means it has the potential to take its place in the global semiconductor market, especially in NVIDIA's supply chain.
TSMC is currently far ahead in the global semiconductor foundry field, taking orders from most technology giants, especially in 7nm, 5nm and even more advanced process nodes, TSMC's technical strength and market share are unmatched. At the same time, the outlook for competitors such as Intel and Samsung is bleaker, in part due to some internal organizational and strategic deficiencies in these companies, which have allowed TSMC to further consolidate its market dominance.
However, with the rise of Rapidus, TSMC may face new challenges in the future. Rapidus' successful integration of ASML's EUV equipment in a factory in Japan marks a revolutionary development for the Japanese semiconductor industry. ASML is the only company in the world that can produce EUV lithography machines, and Japan's acquisition of this cutting-edge technology has undoubtedly boosted its semiconductor manufacturing capabilities.
According to Rapidus' public statement, the trial production, which is expected to begin in April 2025, will lay the groundwork for large-scale commercialization in 2027. NVIDIA has been looking for a possible alternative to TSMC, and while it has not yet found a fully viable option, Rapidus' progress has generated strong interest. It was revealed that the NVIDIA team recognized the yield and technical performance of Rapidus at the 2nm node, and may cooperate with Rapidus for joint development of 2nm chips. This move is in line with NVIDIA's need to diversify its supply chain and also help alleviate its over-reliance on TSMC.
Pictured: Rapidus announced that it will start 2nm trial production in 2025, which may become a new competitor in NVIDIA's supply chain
Rapidus Rises: Breaking TSMC's Monopoly
Rapidus' 2nm production plan has attracted the attention of major companies such as IBM, as well as several semiconductor companies that have expressed their willingness to work with it. By introducing ASML's advanced equipment, Rapidus has increased its manufacturing capacity and injected new vitality into the Japanese semiconductor industry. Although TSMC still has an advantage in technology, the emergence of Rapidus has undoubtedly brought new competitive impetus to the global semiconductor industry.
In addition to NVIDIA, a number of other tech companies are also keeping a close eye on Rapidus' 2nm process progress. As the technology continues to mature, Rapidus is likely to gain market share in the coming years, especially in the areas of high-performance computing and artificial intelligence. Although Rapidus is still in its infancy, its potential cannot be ignored.
The road to revival of Japan's semiconductor industry
The successful trial production of 2nm chips by Rapidus also means that the Japanese semiconductor industry is expected to usher in a revival. In recent years, Japan's influence in the semiconductor sector has gradually declined, mainly due to its over-reliance on external technology suppliers. However, the rise of Rapidus has brought new hope to the Japanese semiconductor industry. By mastering the core technology and introducing the world's most advanced equipment, Rapidus has the potential to become a major player in the global semiconductor industry.
With the increasing global demand for high-performance computing and AI chips, Rapidus' technological breakthroughs will bring new changes to the global chip market, especially in the cutting-edge technology of chip manufacturing, Rapidus may become another important foundry after TSMC.
