TSMC Forecasts 58% Q4 Revenue Growth as AI Chip Demand Strains 17 Million-Wafer Capacity
Updated
Updated · CNBC · Oct 15
TSMC Forecasts 58% Q4 Revenue Growth as AI Chip Demand Strains 17 Million-Wafer Capacity
3 articles · Updated · CNBC · Oct 15
Summary
Six straight record-profit quarters have left TSMC fielding at least 10 wafer-capacity calls a day, underscoring how demand is outrunning supply at the industry's key advanced-chip foundry.
A 58% fourth-quarter revenue growth outlook reflects surging orders from Nvidia, AMD and Broadcom, plus custom AI chip programs from Apple, Google, Amazon, Microsoft, Meta and OpenAI.
More than 17 million 12-inch equivalent wafers of annual capacity still are not enough, raising risks that shortages could slow AI infrastructure buildouts even as U.S. hyperscalers target over $700 billion in capex this year.
TSMC is adding fabs in Taiwan, Japan and Arizona and has lifted its Arizona commitment to $265 billion, but analysts say meaningful new capacity will take years, leaving Samsung and Intel an opening to court customers.