
VisionPower Semiconductor Manufacturing Company
Semiconductors · AI Infrastructure · Manufacturing
VSMC opens $7.8B Singapore chip fab, a Taiwan-Dutch joint venture
September 28, 2026
Its capacity is already sold out to AI-driven customers, pushing the venture to plan a second facility before mass production even starts.
- VisionPower Semiconductor Manufacturing Company (VSMC) opened its first 12-inch wafer fab in Tampines, Singapore on Sept 28, 2026, a joint venture between Taiwan's Vanguard International Semiconductor and Netherlands-based NXP Semiconductors.
- VSMC makes mature specialty chips (40nm to 130nm) for mixed-signal, power management, analog and interposer applications used in automotive, industrial, mobile and high-performance computing.
- The fab has entered risk production after processing its first trial wafers in June with a yield above 99%, and expects volume production in Q1 2027, reaching 44,000 12-inch wafers a month by 2029.
- Built in about 22 months, the fab will create roughly 1,600 jobs at full capacity, with VIS holding a 60% stake and NXP 40%.
- The fab's output is already fully booked by global customers due to AI infrastructure demand, and VIS is evaluating a second Singapore facility to meet overflow orders.
- TSMC, though not an equity partner, provided construction, technology-transfer and workforce-training support and is also described as a key customer of the new fab.
- As AI chip attention focuses on leading-edge logic, this launch underscores how surging demand for mature specialty chips is reshaping supply chains and cementing Singapore's role as a trusted manufacturing hub.