TSMC Sets New Record High with Booming Sales
In the dynamic world of technology, TSMC (Taiwan Semiconductor Manufacturing Company) continues to make waves as the dominant player in the global AI value chain. With a market share of 64% in advanced chip manufacturing technologies like 3nm and 5nm nodes, TSMC produces essential AI chips that power both AI training and inference workloads.
The company experienced a significant boost from the AI boom in 2025, with its AI-related chip manufacturing contributing approximately $8.78 billion in revenue in Q2 2025—a 3.67X increase year-over-year. This momentum continued into July, with TSMC recording a 25.8% year-over-year increase in revenue to NT$323.17 billion (approximately US$10.8 billion), marking a 22.5% month-over-month rise.
TSMC's financial growth is a testament to its strategic positioning. The company's high-performance computing division, which encompasses AI and 5G, accounted for around 60% of total sales in the most recent quarter, with revenues hitting $30.1 billion—up over 40% year-over-year.
TSMC's success is not limited to its domestic market. The company supplies the latest chips to heavyweights like Nvidia and caters to various companies requiring high-performance AI chips. This global reach is further expanding, with TSMC committing to a US$165 billion investment for expansion in the US.
The strategic expansion in the U.S., particularly in Arizona, will see TSMC building six fabs using cutting-edge processes tailored for AI workloads. This move is driven by strong AI demand, geopolitical security concerns, and policy incentives supporting domestic chip production in the U.S.
TSMC's stock has mirrored this growth, with a 10% year-to-date gain and a stock value that has roughly tripled since the end of 2022. On Thursday, TSMC's stock reached a new all-time high, further solidifying its position as a long-term winner in the AI era.
For those specifically interested in the AI trend, TSMC could be a good investment consideration. However, it's essential to note that the Artificial Intelligence Index could provide more granular insights into this fast-evolving sector.
In a recent development, the Taiwanese government exempted TSMC from the announced 100% US tariff on chip exports, a direct response to measures announced by Donald Trump earlier in the week. This exemption is likely to further bolster TSMC's growth prospects.
TSMC's stock is traded under the WKN: 909800. As the AI-driven demand continues to skyrocket, TSMC remains the indispensable manufacturing backbone of the AI chip ecosystem, capturing value regardless of which AI architectures dominate.
- The and growth of TSMC, particularly in its high-performance computing division that primarily focuses on AI and 5G, is a significant factor for those considering as an investment opportunity in the AI sector.
- With its strategic expansion in the US, TSMC continues to revolutionize by investing $165 billion for cutting-edge AI-focused production, further solidifying its position as a key player in the global AI ecosystem.
