Taiwan’s leading computer chip maker TSMC reported its net profit rose nearly 40% in the latest quarter, helped by the increase in the use of artificial intelligence.
hong kong — HONG KONG (AP) — Taiwan’s leading computer chip maker TSMC said Thursday its net profit rose nearly 40% in the latest quarter, helped by the increase in the use of artificial intelligence.
Taiwan Semiconductor Manufacturing Company is the world’s largest semiconductor manufacturer. It reported record net profits of NT$452.3 billion (US$15 billion) in the July-September quarter, higher than analysts’ expectations.
The company previously said its revenue jumped 30% year-over-year in the latest quarter.
TSMC is building chip manufacturing plants in the United States and Japan to help hedge against risks arising from trade tensions between China and the United States. The chipmaker is a major supplier to companies like Apple and Nvidia.
“Demand for TSMC products is inexhaustible,” Morningstar analysts wrote in a note this month. “Given TSMC’s dominance, we doubt the company will be hampered if it faces tariffs on shipments to US customers. We expect demand for AI to remain resilient.”
US Commerce Secretary Howard Lutnick proposed last month that computer chip production be split 50-50 between Taiwan and the United States, but Taiwan – where the majority of the global chip industry is currently based – rejected this idea.
The company pledged US investments worth $100 billion, including building new factories in Arizona, in addition to the $65 billion it pledged earlier.