TSMC is already looking beyond 2nm, with plans to move into 1.4nm wafer production in the second half of 2028. The shift won’t be minor, either. The company is said to be preparing an initial $49 billion investment to build four new plants, underlining just how expensive and complex the post-2nm era is going to be.
Japan doesn’t want to watch this next chapter of semiconductor manufacturing from the sidelines. Rapidus, a relatively new but heavily backed chipmaking venture, is reportedly targeting a 1.4nm manufacturing facility of its own in 2027, putting it on an aggressive timeline that keeps it surprisingly close to TSMC’s roadmap. On top of that, the same site is expected to support research into 1nm chips later on, signaling that Rapidus is aiming not just to catch up, but to stay in the race as the industry pushes toward even smaller process nodes.
According to a report cited by Nikkei Asia, Rapidus’ 1.4nm project will take shape in Hokkaido, Japan’s second-largest island. The company is also expected to kick off R&D for the next-generation node as soon as 2026, which would be a key step toward making 1.4nm production viable on schedule.
None of this happens without massive, sustained funding—and Rapidus appears to be getting it. Japan’s government is providing strong support, and major domestic companies are also stepping in. Sony and Toyota are among the notable backers, and Rapidus has reportedly secured commitments totaling roughly $10 billion (about ¥1.7 trillion). That kind of backing highlights how strategically important advanced chip manufacturing has become for Japan’s industrial future, especially as global demand for leading-edge semiconductors continues to surge.
Still, even with deep pockets, Rapidus faces the same hurdle that challenges every company trying to mass-produce 2nm and sub-2nm wafers: yield. As chip features shrink, manufacturing becomes far less forgiving, and low yields can quickly turn cutting-edge technology into an expensive bottleneck. The latest report doesn’t provide yield figures, but it’s widely understood that reaching stable, high-volume production with acceptable yields is often the hardest part of running a new advanced node.
Rapidus isn’t in full 2nm production yet, but it’s moving forward. Earlier this year, the company reportedly reached an important early milestone by beginning trial production using a 2nm gate-all-around (GAA) process—an increasingly critical transistor architecture for keeping performance and power efficiency on track as scaling becomes more difficult. Rapidus’ stated goal is to begin full-scale 2nm mass manufacturing in 2027, a timeline that aligns closely with its 1.4nm ambitions.
The competition around 1.4nm is also heating up beyond TSMC and Rapidus. Samsung, for example, has been pushing further into advanced chipmaking and was previously reported to have installed ASML’s High-NA EUV equipment in March—tools widely viewed as essential for enabling 1.4nm-class manufacturing.
If Rapidus can turn its government and industry backing into strong execution—especially around yields and scalable production—it could become a serious player in the next wave of leading-edge semiconductor manufacturing. The next year or two will be crucial as the company ramps R&D, prepares its Hokkaido facility, and works toward 2nm mass production on its way to 1.4nm.
