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Comment by ENOTTY | Hacker News Reader

Contrary to the article, AMD is not yet shipping 5nm in volume. (Rumors point to Zen 4 later in 2021.)

Additionally, Intel works with ASML and other similar suppliers. Intel even owns a chunk of ASML.

I looked up Canon's and Nikon's lithography numbers yesterday and was shocked to see that they barely make any money off their lithography businesses, considering that both companies make DUV machinery. Although they don't have the street cred of ASML, they are important because (A) there's a shortage, and (B) the demand side of the machinery market needs to foster competition in order to keep ASML from gouging its customers.

To go even further than your comment (with which I agree, 5nm isn't the center of AMD's income right now), TSMC isn't even making most of its wafer revenue from 5nm and 7nm. Straight from the horse's mouth (Wendell Huang, CFO):

"Now, let's move on to the revenue by technology. 5-nanometer process technology contributed 20% of wafer revenue in the fourth quarter, while 7-nanometer and 16-nanometer contributed 29% and 13%, respectively. Advanced technologies, which are defined as 16-nanometer and below, accounted for 62% of wafer revenue. On a full-year basis, 5-nanometer revenue contribution came in at 8% of 2020 wafer revenue. 7-nanometer was 33% and 16-nanometer was 17%."

https://www.fool.com/earnings/call-transcripts/2021/01/14/ta...

they'll still be depreciating the newer fabs.

Sure, but my understanding is that (assuming that you have a choice about how much depreciation expense to write down) from a tax perspective that's what you're supposed to do when your business is making money. It's also a form of P&L smoothing.

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