TSMC bets on further AI growth, signals interest in higher chip prices | Daily Sabah - Daily Sabah

Taiwan Semiconductor Manufacturing Company (TSMC), the world's largest chip foundry, expressed confidence in its future growth amid a relentless AI boom, driven by increasing demand for computing powe... Read original →

TSMC’s aggressive AI bet is less about demand optimism and more about leveraging technological asymmetry. Its early adoption of High-NA EUV not only secures sub-3nm leadership but also forces Samsung and Intel into unsustainable lithography capex, strengthening ASML’s pricing power while eroding foundry margins. The $165B U.S. fab push eases geopolitical pressure but introduces cost inefficiencies—Taiwan, China’s mature ecosystem still delivers unmatched yield and scale. NVIDIA’s insatiable appetite for advanced packaging will squeeze Samsung into sacrificing mature-node profits to stay relevant in AI chips. Over the next 18 months, the market will bifurcate: TSMC monopolizes leading-edge AI silicon, while rivals scramble in mid-tier commoditization. Any escalation in U.S. export controls could trigger preemptive stockpiling by non-U.S. clients, amplifying cyclical volatility.