Taiwan Semiconductor: Innovation Drive Boosts Growth Forecasts

Taiwan Semiconductor Manufacturing Co (TSMC) is on the verge of releasing impressive quarterly figures. Forecasts suggest that the company could report revenue of $23.096 billion for the third quarter, compared to $17.280 billion in the same period last year. The expected earnings per share are estimated at $1.80. This 34% increase in revenue is primarily driven by the ongoing boom in the field of artificial intelligence; additionally, many countries are striving to reduce their dependence on Asian markets and consolidate their own semiconductor base. Recently, TSMC announced that in September, it achieved revenue growth of 39.6%, equivalent to 251.87 billion Taiwan dollars or $7.82 billion. Over the past year, the stock recorded a price increase of over 109%. This increase also reflected the heightened capital commitment in the Taiwanese stock market, into which $29.5 billion was invested net between January and September. TSMC is a major chip supplier for Nvidia and Apple. With investments exceeding $65 billion in the construction of three factories in Arizona and plans to establish additional plants in Europe, the company is demonstrating its expansive strategy and focus on geographic diversification. Taiwanese Science Minister Wu Cheng-wen emphasizes that the market for AI chips, including products for Nvidia and AMD, is of utmost importance, and potential expansion strategies in Europe are being examined.