Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is expected to grow its revenue by about 25 percent to a new record high next year, driven by robust demand for advanced technologies used in artificial intelligence (AI) applications and crypto mining, International Data Corp (IDC) said yesterday.
That would see TSMC secure a 67 percent share of the world’s foundry market next year, from 64 percent this year, IDC senior semiconductor research manager Galen Zeng (曾冠瑋) predicted. In the broader foundry definition, TSMC would see its market share rise to 36 percent next year from 33 percent this year, he said.
To address concerns about its market dominance, TSMC in July created a new definition of the foundry market, called Foundry 2.0, which includes chip packaging, testing, mask making and all integrated device manufacturers (IDM) such as Intel Corp, but excludes memorychip makers.
Photo: Cheng I-hwa, AFP
“TSMC will continue to dominate the foundry market either by the definition of Foundry 1.0 or Foundry 2.0,” Zeng said.
TSMC, the world’s biggest contract chipmaker, is fast-tracking production of 3-nanometer, 4-nanometer and 5-nanometer chips to catch up with customers’ demand by performing “super-hot-run” production cycle, the shortest production cycle adopted for rush orders, Zeng said, adding that the utilization rate of those technology nodes stood at more than 95 percent.
The Hsinchu-based chipmaker is to add 70,000 advanced wafers a month next year to existing capacity for 2-nanometer, 3-nanometer, 4-nanometer and 5-nanometer chips, he said.
TSMC is also expected to double its capacity of advanced packaging technology, or chip-on-wafer-on-silicon (CoWoS), mostly used in AI chips for Nvidia Corp, to 660,000 units next year, from 330,000 units this year, Zeng said.
Even so, its CoWoS capacity would remain insufficient next year, he said.
IDC also projects the world’s semiconductor industry would expand 15 percent in production value to US$782 billion, while the global foundry segment would grow 20 percent next year, he said.
Samsung Electronics Inc is expected to ramp up production of 2-nanometer technology next year, IDC said. Samsung’s move would be earlier than TSMC by half to one quarter, but the company has to address the issue of its low yield rate, it said.
TSMC is expected to enter volume production of 2-nanometer technology in the second half of next year, with a small volume shipped to Apple Inc at the end of the year or early 2026, IDC said.
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) last week recorded an increase in the number of shareholders to the highest in almost eight months, despite its share price falling 3.38 percent from the previous week, Taiwan Stock Exchange data released on Saturday showed. As of Friday, TSMC had 1.88 million shareholders, the most since the week of April 25 and an increase of 31,870 from the previous week, the data showed. The number of shareholders jumped despite a drop of NT$50 (US$1.59), or 3.38 percent, in TSMC’s share price from a week earlier to NT$1,430, as investors took profits from their earlier gains
In a high-security Shenzhen laboratory, Chinese scientists have built what Washington has spent years trying to prevent: a prototype of a machine capable of producing the cutting-edge semiconductor chips that power artificial intelligence (AI), smartphones and weapons central to Western military dominance, Reuters has learned. Completed early this year and undergoing testing, the prototype fills nearly an entire factory floor. It was built by a team of former engineers from Dutch semiconductor giant ASML who reverse-engineered the company’s extreme ultraviolet lithography (EUV) machines, according to two people with knowledge of the project. EUV machines sit at the heart of a technological Cold
TAIWAN VALUE CHAIN: Foxtron is to fully own Luxgen following the transaction and it plans to launch a new electric model, the Foxtron Bria, in Taiwan next year Yulon Motor Co (裕隆汽車) yesterday said that its board of directors approved the disposal of its electric vehicle (EV) unit, Luxgen Motor Co (納智捷汽車), to Foxtron Vehicle Technologies Co (鴻華先進) for NT$787.6 million (US$24.98 million). Foxtron, a half-half joint venture between Yulon affiliate Hua-Chuang Automobile Information Technical Center Co (華創車電) and Hon Hai Precision Industry Co (鴻海精密), expects to wrap up the deal in the first quarter of next year. Foxtron would fully own Luxgen following the transaction, including five car distributing companies, outlets and all employees. The deal is subject to the approval of the Fair Trade Commission, Foxtron said. “Foxtron will be
INFLATION CONSIDERATION: The BOJ governor said that it would ‘keep making appropriate decisions’ and would adjust depending on the economy and prices The Bank of Japan (BOJ) yesterday raised its benchmark interest rate to the highest in 30 years and said more increases are in the pipeline if conditions allow, in a sign of growing conviction that it can attain the stable inflation target it has pursued for more than a decade. Bank of Japan Governor Kazuo Ueda’s policy board increased the rate by 0.2 percentage points to 0.75 percent, in a unanimous decision, the bank said in a statement. The central bank cited the rising likelihood of its economic outlook being realized. The rate change was expected by all 50 economists surveyed by Bloomberg. The
RSS