Leading Taiwanese computer chip maker TSMC said its net profit jumped nearly 40% last quarter, boosted by the growing use of artificial intelligence.
HONG KONG– HONG KONG (AP) — Taiwan’s top computer chip maker TSMC said Thursday its net profit jumped nearly 40% last quarter, boosted by the boom in the use of artificial intelligence.
Taiwan Semiconductor Manufacturing Corp. is the world’s largest semiconductor manufacturer. It posted a record net profit of 452.3 billion new Taiwan dollars ($15 billion) in the July-September quarter, higher than analysts’ forecasts.
The company earlier announced that its revenue jumped 30% year-on-year in the last quarter.
TSMC has built chip manufacturing plants in the United States and Japan to guard against risks from Sino-U.S. trade tensions. The chipmaker is a major supplier to companies including Apple and Nvidia.
“Demand for TSMC products is unyielding,” Morningstar analysts wrote in a note this month. “Given TSMC’s dominance, we doubt the company would be hampered if it faced tariffs on shipments to U.S. customers. We expect demand for AI to remain resilient.”
U.S. Commerce Secretary Howard Lutnick last month proposed that computer chip production be split 50-50 between Taiwan and the United States. Taiwan – where the majority of global chip manufacturing is currently based – has rejected the idea.
The company has committed $100 billion in U.S. investments, including the construction of new factories in Arizona, in addition to the $65 billion promised earlier.
