TSMC approved US$1.4276 billion for capacity expansion, according to a press release from the company.

The approved budget, not part of the capital expenditure for 2004, will be mainly used to expand 12-inch capacity for TSMC’s 0.13-micron and 90-nm processes at its Fab 12 and Fab 14, according to the company statement. The rest of will used to increase the company’s 0.18- and 0.15-micron process capacity at some of its 8-inch fabs.

The company will likely announce its 2004 capex early next year, the company's spokesperson said.