TSMC Surges Past $200! Semiconductor Boom Fueled by AI & HPC Demand

TSMC Hits a New Milestone Amid Strong Market Optimism

On Wednesday, June 4, TSMC (NYSE:TSM) surged 1.7% in pre-market trading, officially breaking past the $200 mark. This jump reflects growing investor confidence in the semiconductor industry's future, driven by increasing demand for high-performance computing (HPC) and artificial intelligence (AI) chips.

CEO Wei Zhejia’s Bold Forecast: Record Profits & Strong Sales Growth

TSMC’s CEO, Wei Zhejia, reassured investors with a bullish outlook, predicting record-breaking profits this year. He expects 2025 revenue growth in the mid-20% range (in USD terms), dismissing concerns about tariffs affecting customer orders. According to Wei, AI and HPC-driven demand remains robust, with clients continuing to place substantial orders despite global economic uncertainties.

2nm Production Capacity Set for Huge Expansion

Reports from the supply chain suggest that by the end of 2024, TSMC’s 2nm process will reach a monthly production capacity of 30,000 wafers. Even more impressive, new tape-outs in the second year are projected to be four times greater than those seen during the early stages of 5nm production.

Arizona Fab Running at Full Capacity – Who’s Buying?

TSMC’s facility in Arizona is operating at nearly full capacity, with orders pouring in from top U.S. tech giants, including Apple, NVIDIA, Qualcomm, AMD, and Broadcom. This reflects the critical role TSMC plays in supplying cutting-edge chips to the world’s leading semiconductor consumers.

What’s Next for TSMC & the Semiconductor Industry?

Will AI-driven demand continue to push semiconductor stocks higher? How will geopolitical factors and tariff policies impact TSMC’s future growth? Can TSMC maintain its leadership in chip manufacturing as competitors ramp up production?