EDN reported on April 8, 2002, that TSMC had reportedly ordered $200 million in 200 mm wafer-fabrication equipment from Applied Materials, citing unnamed industry sources. Neither company confirmed the order to EDN: a TSMC spokesman in Hsinchu and an Applied Materials spokesman both declined to comment. The report did, however, quote the TSMC spokesman confirming plans to expand both 200 mm and 300 mm capacity.
What EDN reported—and what it did not confirm
The reported purchase was described only as unspecified 200 mm wafer-fabrication equipment intended to increase TSMC’s foundry capacity. EDN attributed the $200 million figure and the order itself to unnamed industry sources; it did not identify tool models, purchase terms, or an itemized equipment list. EDN’s April 8, 2002 report is therefore evidence of what was reported at the time, not confirmation from either company.
EDN also said unnamed industry observers believed the tools could help double copper-interconnect foundry capacity. That was an attributed expectation, not a confirmed outcome or a published measurement of what the equipment ultimately achieved.
Why buy 8-inch tools while building 12-inch capacity?
In the same report, an unnamed TSMC spokesman said the company planned to expand both 200 mm (8-inch) and 300 mm (12-inch) capacity. The spokesman gave a specific reason for the 8-inch purchases: “We do plan to purchase some advanced 8-inch equipment in the coming future.” The spokesman added, “The reason why we are doing so is to quickly increase our high-end, 0.15- and 0.13-micron process capacity.”
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The explanation is a capacity-planning choice rather than a contradiction. TSMC was continuing to ramp a 12-inch fab using its most advanced technology while also seeking to add capacity for the high-end process generations it identified at the time. The report does not establish which particular products would use that capacity, or how much production either wafer size ultimately handled.
Where the reported equipment was supposed to go
EDN attributed the installation details to sources rather than to a confirmed TSMC statement. Those sources reportedly placed new 200 mm tools at Fab 6B in Hsinchu, in space previously used for a 300 mm pilot line, with the pilot line moving to Fab 12 in Tainan. The report also said TSMC’s U.S. subsidiary WaferTech in Camas, Washington, was receiving new 200 mm tools. These reported destinations should not be treated as verified installations.
How the report fits TSMC’s equipment history
A separate TSMC announcement from July 2000 documented an Applied Materials order for 300 mm manufacturing systems for Fab 6. It named tool categories including chemical vapor deposition, physical vapor deposition, etch, chemical mechanical planarization, ion implant, and process diagnostics and control. That was a different, earlier order and does not verify the reported 2002 200 mm purchase.
The 2000 announcement also forecast nearly 3.4 million 8-inch-equivalent wafers of capacity for 2000 and 4.7 million for 2001. Those were company forecasts published at the time, not current capacity figures or proof of subsequent production.
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What TSMC reports about its capacity today
TSMC’s company overview says annual capacity exceeded 17 million 12-inch-equivalent wafers in 2025. It lists four 8-inch fabs in Taiwan and two at wholly owned subsidiaries in Washington and China, alongside 12-inch fabs in Taiwan and through subsidiaries in Nanjing, Arizona, and Japan. This gives current context for TSMC’s mix of wafer sizes; it does not establish whether any particular tool from the reported 2002 order remains in service.
Applied Materials announced an EPIC Center innovation partnership with TSMC in May 2026, focused on materials engineering, equipment innovation, and process integration for next-generation technologies. Applied said the relationship builds on more than 30 years of collaboration. The announcement provides present-day relationship context, not retrospective confirmation of the $200 million report.
Quick Recap
What can be concluded about the $200 million figure?
- Reported: EDN said unnamed industry sources described a $200 million order for unspecified Applied Materials 200 mm equipment.
- Separately confirmed in EDN: A TSMC spokesman said the company planned advanced 8-inch purchases to increase 0.15- and 0.13-micron process capacity while continuing its 12-inch ramp.
- Not confirmed in the report: The companies did not comment on the alleged order, and the specific equipment, terms, final destinations, and resulting capacity are not independently established by the cited announcements.
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