Driven by sustained demand for artificial intelligence hardware, Taiwan Semiconductor Manufacturing (TSMC) reached an unprecedented revenue milestone in August.
The leading contract chip manufacturer achieved revenue of 514.8 billion New Taiwan dollars (€13.9 billion), an increase of 53.3% compared to last year and 10.1% higher than July’s figures. This result continues the positive trend of monthly growth that has now lasted for four consecutive months.
The company’s financial performance remains strong. In the second quarter, profit rose by more than 77%.
During the presentation of the quarterly figures in July, TSMC described demand for AI-focused semiconductors as exceptionally strong. At that time, the company expected revenue in the third quarter to be between €38 billion and €39 billion.
TSMC holds an overwhelming position in the market for contract chip production for other companies. In the second quarter, the company controlled 72.5% of the market. The strong demand for AI server chips meant that the most advanced production lines – in particular the 3-, 4- and 5-nanometre processes – remained fully utilised.
Samsung Foundry and SMIC, by contrast, had significantly smaller market shares of 5.9% and 5.4% respectively. Together, the 10 largest foundries achieved record revenue of almost €45.5 billion, fuelled by the scarcity of components for high-performance computing.
With an eye on future innovation, TSMC is working with Dutch equipment manufacturer ASML to break new ground in next-generation manufacturing techniques.
The Taiwanese company plans to integrate ASML’s High NA technology into its mass production for advanced nodes by 2030. This transition is expected to accelerate as AI developments require more complex transistor designs.
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