Taiwan Semiconductor Manufacturing Co.
(TSMC) is accelerating the expansion of its massive Arizona chip manufacturing campus as it moves to capitalize on what the company describes as a long-term artificial intelligence boom, according to comments from Chief Financial Officer Wendell Huang.Speaking with CNBC's Emily Tan following the company's latest earnings report, Huang said TSMC sees no signs of slowing demand from customers investing heavily in AI infrastructure, prompting the world's largest contract chipmaker to ramp up production capacity in the United States."We're seeing this strong structural, multi-year demand, and we do not plan to leave any food on the table for anybody else," Huang told CNBC.
"As long as the megatrend is right, then we're able to continue to deliver the profitable growth to our shareholders."The accelerated expansion comes after TSMC announced an additional $100 billion investment in Arizona, boosting its total planned spending in the state to $265 billion.
The commitment represents one of the largest foreign direct investments in U.S.
manufacturing history and reflects the semiconductor industry's race to meet soaring AI-related demand.The growing investment also prompted TSMC to raise its full-year capital expenditure forecast to between $60 billion and $64 billion.
According to Huang, the decision is being driven by strong customer demand in the United States and continued government support for domestic semiconductor production.To meet that demand, TSMC is rapidly optimizing production at its most advanced manufacturing facilities.
Huang said the company is converting more of its existing 5-nanometer production capacity to the more advanced 3-nanometer process, allowing it to manufacture increasingly powerful and energy-efficient chips needed for AI applications.Nanometer measurements refer to the size of individual transistors on....
