Semicon Briefing

Applied Materials, ASML, Lam Research, Tokyo Electron, and KLA are on the verge of concluding supply contracts for 2028, while initial discussions on 2029 orders are already underway. The unprecedented three-year lead time signals structural supply shortages in manufacturing equipment that will determine AI-driven fab expansion by TSMC, Micron, and Intel.

TSMC's A16 process node for high-performance computing will move into pilot production sooner than planned, widening the technology gap with Intel Foundry. The lead at the 1.6-nm node is likely to secure TSMC the next wave of HPC and AI chip orders and further increase pressure on Intel Foundry as a competitive alternative.

On September 8, 2026, Samsung and ASML expanded their High-NA EUV collaboration, with concrete plans for DRAM production starting in 2028 and a transition to even more advanced nodes. The partnership is a direct counterweight to TSMC's technology leadership and could significantly reduce Samsung's lag in memory process technology.

ASML and TSMC have launched a joint initiative to develop 12-inch photomasks for High-NA EUV, with a pilot line by 2031 and mass production for advanced nodes by 2033. The project is a critical enabler for the next generation of lithography and reinforces the entire industry's dependence on ASML as the sole provider.

The EU unveiled a new €525M platform on November 4, 2026, under the European Chips Act, with €440M in grants to strengthen chip design startups and SMEs and bolster Europe's technological sovereignty. The initiative complements already approved fab investments (Infineon GaN) and marks a shift toward supporting the design ecosystem, not just manufacturing.

AMD agreed on September 26, 2026, to acquire World Labs for $8.2B, expected to close by end of 2026, expanding AMD's AI capabilities with deep modeling and simulation expertise. The deal positions AMD more directly to compete with NVIDIA at the software and algorithms level, not just in hardware.