TSMC might raise bonuses more than 30%, source says - Taipei Times

According to anonymous sources, Taiwan Semiconductor Manufacturing Company (TSMC) may increase employee bonuses by over 30% this year, continuing a trend of strong annual growth seen in recent years. ... Read original →

TSMC’s >30% bonus hike isn’t generosity—it’s a strategic move to lock down talent amid the AI chip arms race. With 3nm/2nm nodes demanding extreme EUV expertise and ASML hiring 1,000 engineers in Taiwan, China, the talent war is intensifying. Samsung and Intel will face margin pressure as they’re forced to match compensation, especially while struggling with yield and scale. NVIDIA’s surging demand for AI accelerators is cascading through the supply chain, compelling ODMs like Quanta and Supermicro to retool logistics and capacity planning. Geopolitically, delayed U.S. CHIPS Act disbursements make TSMC more reliant on domestic workforce stability—but rising labor costs could be passed to clients. Over the next 12–24 months, a ‘high-wage, high-CAPEX, high-pricing’ spiral will likely exclude smaller players from advanced-node access, consolidating power among hyperscalers and top-tier foundries.