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IBM Unveils 2-Nanometer Chip - Faster Performance, Less Energy

IBM develops a 2-nanometer chip, providing faster performance and using less energy. It'll be ready for production as early as late 2024.

IBM  (IBM) - Get Report said on Friday it has developed a microchip with 2-nanometer transistors, a move that could lead to better-performing phones and computers.

The smaller transistors enable faster calculations using less power, the company said in a statement.

The 2-nanometer chip is based on IBM’s nanosheet technology and will hold up to 50 billion transistors on a chip “the size of a fingernail,” the Armonk, N.Y., technology company added.

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“The chip will have 45% higher performance and use 75% less energy than today’s 7-nanometer node chips,” IBM said.

“These improvements could reduce the carbon footprint of data centers and improve smartphone battery life from charging daily to every four days.”

“There are not many technologies or technological breakthroughs that end up lifting all boats. …This is an example of one,” Dario Gil, director of IBM Research, told CNN.

“When we experience that the phone gets better, the cars get better, the computers get better, it is because behind the scenes, the transistor got better and we have more transistors available in our chips,” Gil added.

IBM does not make chips but rather licenses its technology to companies that do, Dow Jones reports.

Such companies include Intel  (INTC) - Get Report and Samsung SSNLF, which are likely to begin using the 2-nanometer chips in a matter of years, media reports say.

Many companies are just beginning to introduce 5-nanometer chips on premium smartphones, Verdict reports.

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The 2-nanometer chips are set to go into production starting in late 2024 or 2025, CNN reports.

This likely will not make up for the current global chip shortage, which occurred during the pandemic.

At last check IBM shares were trading 1% lower at $145.30.