ASML Stock: The Tool TSMC and Intel Have Been Waiting For Is Ready for Production

TLDR

• ASML’s next-gen High-NA EUV chipmaking tools are ready for high-volume production
• The machines cost ~$400 million each — twice the price of standard EUV tools
• Tools have processed 500,000 wafers and are running at ~80% uptime
• Chipmakers like TSMC and Intel will benefit from simplified, more efficient chip production
• Full integration into manufacturing lines still expected to take 2–3 years

ASML Holding’s ($ASML) High-NA EUV tools have hit a production-readiness milestone, according to CTO Marco Pieters, who spoke to Reuters ahead of a technical conference in San Jose on Thursday.

ASML Holding N.V., ASML

The machines are the next step up from ASML’s standard EUV tools — the only commercial extreme ultraviolet lithography equipment on the market. ASML holds a monopoly on this technology.

The standard EUV tools are running up against their technical limits when it comes to making advanced AI chips. That’s what makes the High-NA version so important right now.

Each High-NA tool carries a price tag of roughly $400 million. That’s double the cost of the current-generation machines.

Despite the eye-watering cost, the machines are proving their worth on paper. They’ve now processed 500,000 silicon wafers and can draw the ultra-precise circuit patterns required for modern chips.

Downtime has also been brought under control. ASML is currently running at around 80% uptime and is targeting 90% by the end of 2025.

Pieters said the imaging data being released at Thursday’s conference is detailed enough to convince chipmakers to swap out multiple steps using older tools for a single High-NA step — a meaningful simplification of the production process.

What This Means for TSMC and Intel

Chipmakers like Taiwan Semiconductor Manufacturing (TSM) and Intel (INTC) stand to gain from the technology. The new tools strip out several costly and complex steps from the chip-manufacturing process, which could lower production costs over time.

That said, qualification isn’t instant. Pieters estimates it will take two to three years before companies can fully integrate these machines into live manufacturing lines.

The 500,000 wafers already processed have helped ASML iron out early technical issues, giving the company — and its customers — more confidence in the platform.

Why the Timing Matters

Current EUV tools are approaching the ceiling of what they can do for complex AI chip designs. With demand for AI processing power still climbing, chipmakers need a path forward.

The High-NA tools are designed to fill that gap, enabling more powerful and efficient chips to be produced at scale.

ASML has been developing this technology for years. The data being presented at the San Jose conference marks the first time the company has publicly declared the tools ready for mass production.

Pieters made clear that readiness doesn’t mean instant rollout. Two to three years of testing and development still lies ahead for manufacturers before the machines start shipping chips in volume.

At the time of Pieters’ comments to Reuters, ASML’s uptime stood at roughly 80%, with a target of 90% set for the end of the year.

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