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Nvidia secures 70% of TSMC's N3 process capacity
Friday, March 13, 2026 at 12:46 PM
Nvidia has reportedly secured 70% of TSMC's 3nm (N3) process capacity to ensure its supply chain for next-generation AI and data center chips.
Context
As of March 2026, Nvidia has reportedly secured 70% of TSMC’s N3 (3nm) process capacity, a move that solidifies its dominance in the high-performance computing market. This massive allocation is primarily driven by the production of the next-generation Vera Rubin GPU architecture and the Rubin Ultra platform, which are transitioning to the advanced N3P node. By locking down the majority of TSMC's most advanced wafer supply, Nvidia effectively creates a production squeeze for competitors and cloud giants like AWS and Google, who are also racing to adopt 3nm technology for their in-house AI accelerators. This supply chain maneuver comes as TSMC plans to raise advanced process wafer prices by 3–5% over the next four years, signaling a persistent seller's market. With Nvidia's Blackwell platform already sold out through late 2025, securing N3 capacity ensures the company can maintain its aggressive release cycle and meet the skyrocketing global demand for AI compute through 2026.
Sources (9)
Nvidia's Jensen Huang wants wants a lot more production from Taiwan Semi. Here's what that means for the AI story. - MarketWatchTSMC aims to complete new Tainan fab in 2028 amid AI-driven expansion - Taipei TimesNvidia halts China-bound H200 production, shifts TSMC capacity to ...Next-gen Nvidia GPU "Rubin" is ahead of schedule, uses 3nm manufacturing and HBM4 | TechSpotTSMC AI capacity: Huang says Nvidia demand could force a doublingApple concedes it is constrained by TSMC's supply of advanced chips; storage and memory are also in short supply — firm isn't projecting supply conditions beyond the second quarter | Tom's HardwareTSMC 3nm Boom: Nvidia Leads, Cloud Giants Compete - SmBomNVIDIA RTX 5090 "Blackwell" will Use a Chiplet Design on TSMC 3nm Process Node | Hardware Times
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