Taiwan Semiconductor Manufacturing Company (TSMC) – Recent Developments

Market Position and Financial Snapshot

  • Exchange and Currency: Listed on the Taiwan Stock Exchange, trading in TWD.
  • Recent Closing Price: 1,460 TWD (as of 6 November 2025).
  • 52‑Week Range: 780 TWD to 1,525 TWD.
  • Market Capitalisation: 37,861,624,872,960 TWD.
  • Price‑to‑Earnings Ratio: 24.51.

TSMC remains the world’s largest dedicated independent semiconductor foundry, with a core focus on the design, manufacturing, packaging, testing, and computer‑aided design of integrated circuits.

Pricing Strategy for Advanced Nodes

  • Sub‑5 nm Chip Price Increases: TSMC has notified key customers, including Apple, that the price of chips manufactured on nodes below 5 nm will rise effective next year.
  • Affected Apple products include the A16, A17, A18, A19, M3, M4, and M5 chips, as well as all future iterations.
  • The announcement was sourced from a South Korean social‑media platform (Naver) and reported by Aastocks.com on 7 November 2025.
  • Implications: The price hike reflects TSMC’s higher manufacturing costs at advanced nodes and the continued demand for cutting‑edge technology from major consumer‑electronics companies.

Demand from Artificial‑Intelligence Leaders

  • Nvidia’s Blackwell Chip Orders:
  • Nvidia is experiencing “very strong demand” for its next‑generation Blackwell AI processors.
  • The company has requested increased manufacturing capacity from TSMC, covering not only graphics processors but also other chip types that support Nvidia’s AI workloads.
  • This request was highlighted in a report by TipRanks on 9 November 2025 and corroborated by statements from Nvidia CEO Jensen Huang.
  • Broader AI Market Dynamics:
  • The surge in AI chip demand is part of a larger industry trend, with hyperscalers and technology firms investing heavily in AI infrastructure.
  • TSMC’s role as a leading foundry positions it at the center of this growth, as noted in several AI‑focused analyses on platforms such as The Motley Fool.

Strategic Context and Outlook

  • Competitive Landscape: While other manufacturers such as Intel are exploring new chip partnerships (e.g., with Tesla), TSMC maintains a dominant share of the advanced‑node market, particularly for Apple and Nvidia.
  • Revenue Drivers: The combination of higher node pricing and sustained AI chip orders is expected to support TSMC’s revenue growth in the coming fiscal period.
  • Market Perception: Analyst coverage indicates continued confidence in TSMC’s ability to meet escalating demand, with its strong financial metrics (high market cap and robust P/E ratio) underscoring its stability.

Conclusion

TSMC’s recent pricing adjustments for sub‑5 nm chips and its expanding partnership with Nvidia for Blackwell AI processors underscore the company’s pivotal role in the semiconductor supply chain, especially within the rapidly growing artificial‑intelligence sector. The firm’s financial strength and strategic positioning suggest that it will remain a key driver of industry innovation and profitability.