wafer price
Wafer price is the **cost charged by a foundry to process one wafer** through all fabrication steps for a customer's product. It's the primary billing unit in the foundry business model.
**Typical Foundry Wafer Prices (300mm)**
• **180nm-90nm**: $1,500-3,000 per wafer
• **65nm-40nm**: $3,000-5,000
• **28nm**: $4,000-6,000
• **16/14nm FinFET**: $6,000-8,000
• **7nm**: $9,000-12,000
• **5nm**: $14,000-17,000
• **3nm**: $18,000-22,000+
**What's Included in Wafer Price**
All process steps from blank wafer to completed wafer: lithography (including EUV), deposition, etch, implant, CMP, clean, and metrology/inspection. **Not included**: mask costs (separate NRE charge), packaging, testing, and design services.
**Price Negotiation Factors**
**Volume commitment**: Higher committed volume = lower per-wafer price. TSMC's largest customers (Apple, NVIDIA) negotiate best pricing. **Technology maturity**: Newer nodes command premium pricing; prices decline as the node matures. **Contract length**: Multi-year agreements provide better pricing than spot orders. **Utilization**: When fabs are full, prices are firm. When utilization is low, foundries may offer discounts to fill capacity.
**Wafer Price Trends**
Prices increase **~30% per node** at the leading edge due to more process steps, EUV costs, and fab depreciation. However, the **cost per transistor** continues to decrease because each new node packs more transistors per mm². This is the fundamental economic engine of Moore's Law—even though wafers cost more, the transistors on them cost less individually.
**Revenue Calculation**
Foundry revenue = wafer price × wafers shipped. TSMC's 2023 revenue of ~$69 billion came from shipping roughly **15 million** 300mm-equivalent wafers.