TSMC chairman Morris Chang said that the fab is designed to manufacture chips using 10nm process technology and volume production at the new facility of Fab 15 will start in mid-2016.

TSMC disclosed previously that the company is scheduled to move its 10nm process technology to volume production by the end of 2016.

The node technology will target production for mobile application processors, baseband chips, server chips, graphics processors (GPU), network processors and chips for gaming systems.

The move will put TSMC back on target with the latest processing technology. The outfit has been losing orders to Samsung. Mobile makers need the latest process technology to stay ahead of the pack and Apple, Samsung, and Qualcomm have all transferred orders to Samsung.

This has left TSMC in the embarrassing position of being a back-up plant for Samsung.

Chang added that TSMC never competes directly with its fabless clients, and treats them as partners. Being a dedicated foundry is TSMC's fundamental value and competitive advantage over rivals, Chang said.