TSMC’s Profits Skyrocket to an All-Time High, Bolstered by AI Chip Demand
Taiwan Semiconductor Manufacturing Company (TSMC), the world’s premier contract chip manufacturer, has reported an impressive 61% year-on-year surge in its second-quarter profits. This rise marks a record high, driven by robust demand for artificial intelligence chips.
The company’s revenue witnessed a significant leap of 38.6%, reaching $31.73 billion, thereby surpassing analyst estimates. TSMC CEO C.C. Wei announced optimistic projections for the company’s full-year 2025 revenue, expecting a rise of approximately 30% in U.S. dollar terms. This growth is anticipated to be fueled by an increase in AI and demand for the company’s most advanced technologies.
- Advanced chips with sizes 7-nanometer or smaller accounted for 74% of TSMC’s total wafer revenue in the quarter, underlining the continued drive for cutting-edge semiconductor technology.
- The success of the Taiwan-based company is attributed to its role as the primary manufacturer for tech giants such as Nvidia, Apple, and Advanced Micro Devices, profiting from the ongoing AI boom.
Despite potential challenges posed by U.S. trade policy and tariffs, TSMC maintains a positive outlook on future growth prospects.
Source: CNBC