Taiwan Semiconductor Manufacturing Co. (TSMC) has reported a significant 39% revenue increase in the second quarter, exceeding market expectations. This surge is primarily driven by strong demand for AI chips, with revenue reaching NT$933.80 billion ($31.9 billion). The company's performance underscores the ongoing boom in AI-related spending, with high-performance computing chip demand expected to continue its rise.
TSMC's growth is further evidenced by a 40% increase in revenue for the first half of 2025, compared to the same period last year. The company anticipates continued robust AI demand throughout the year, projecting that revenue from AI accelerators will double in 2025. TSMC is also making strides in advanced chip manufacturing, with the introduction of its 2nm and 1.6nm processes expected to further fuel growth. The company's 2nm process is already attracting contracts from major players like AMD, Microsoft, Amazon, and Google.
Despite potential challenges such as tariff impacts and rising fab costs, TSMC remains optimistic about its long-term prospects. The company is investing heavily in expanding its global capacity, including significant investments in the United States. TSMC's strong position in the semiconductor market, driven by its scale and technology, positions it to capitalise on the increasing demand for AI chips and maintain its leadership in the industry.
