Nvidia CEO Jensen Huang Calls AI ‘Insanely Profitable’ for TSMC. How to Play TSM Stock Here. - Barchart.com

At COMPUTEX 2026, NVIDIA CEO Jensen Huang emphasized that AI has become 'insanely profitable' for Taiwan Semiconductor Manufacturing Company (TSMC), reinforcing TSMC's central role in the global semic... Read original →

Jensen Huang’s remark at COMPUTEX 2026 that AI is “insanely profitable” for TSMC exposes a self-reinforcing loop: cutting-edge nodes like 3nm and 2nm, enabled by high-NA EUV, are now the bottleneck for AI accelerator performance. TSMC’s exclusive control over this ramp gives it de facto pricing power, squeezing Samsung and Intel’s catch-up timelines. While its Arizona fab eases geopolitical risk, U.S. export controls and talent restrictions inflate operational costs by over 15%. Samsung may resort to aggressive pricing for mid-tier AI chips, but yield issues cap its threat. Over the next 18 months, as CoWoS advanced packaging capacity doubles and 2nm scales, TSMC will evolve from a foundry into an AI infrastructure backbone—justifying its premium valuation through structural tech dominance, not cyclical demand.