TSMC CEO predicts AI chip shortage through 2025
Taiwan Semiconductor Manufacturing Company (TSMC) CEO predicts chip shortage until 2025-2026. TSMC aims to boost supply, expand overseas, and introduce 2 nm chip by 2025. Revenue surpasses estimates, despite external factors.
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The CEO of Taiwan Semiconductor Manufacturing Company (TSMC), C.C. Wei, predicts that the shortage of advanced chips, particularly AI chips, will persist until 2025 or 2026. Despite high customer demand, TSMC is working on increasing supply to achieve a balance in the coming years. The bottleneck lies in the CoWoS packaging capacity, which links processors to high-bandwidth memory. TSMC is expanding overseas, with plans for new plants in Arizona and Kumamoto, Japan, to address the shortage issue. The company's newer 2 nm chip is expected to enter mass production in the second half of 2025. Despite recent comments from US Republican presidential candidate Donald Trump affecting TSMC's share price, the company remains committed to its expansion plans. TSMC's second-quarter revenue exceeded estimates, showing a significant increase year-on-year. Wei emphasized that the company's strategy remains unchanged despite geopolitical risks and potential tariffs on chip imports.
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