Taiwan’s TSMC just achieved its first market value crossing of $1 trillion in Taipei last week due to a high demand for AI. This Taiwan chip giant supplies to big names like Apple and Nvidia.
TSMC saw its shares in Taiwan hit a record high on Friday, now up nearly 50% since their low back in April. That milestone makes TSMC the first Asian company to cross the $1 trillion mark in market value since PetroChina’s short-lived rise back in 2007.
Investors are clearly betting big on TSMC’s future, with the chipmaker now seen as a key player poised to ride the AI wave even higher. The company increased its full-year revenue growth forecast to over 30% last week, suggesting that it is moving quickly as the battle to secure the manufacturing of AI chips intensifies.
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“We think that TSMC’s tone towards advanced node demand is even more positive with AI customers showing no signs of demand slowdown,” wrote Goldman Sachs Group Inc analysts, including Bruce Lu, after TSMC’s quarterly earnings. He further added, “We expect to see a higher magnitude of price hike in 2026.”
TSMC’s shares traded in the U.S. as ADRs under the ticker TSM have now hit a market value of around $1.2 trillion. That’s a strong signal of just how much confidence American investors have in the company. The stock recently closed near $245, which lines up pretty closely with its value in Taipei when adjusted for currency.
A big part of that optimism comes from TSMC’s growing footprint in the U.S. Its Arizona chip factories have officially started production, supported by $6.6 billion in funding from the CHIPS Act. This move doesn’t just reduce the chances of global supply chain obstacles and it also puts the company in a stronger political spot, potentially opening the door to more support from the U.S. government down the line.
In 2025 alone, it’s set to invest between $38 and $42 billion, as part of a larger $100 billion global expansion focused on advanced chip-making sites in Arizona, Japan, and Germany. These investments are key to ramping up production of 3nm and 5nm chips, which are in high demand for powering AI. Its CoWoS 2.5D advanced packaging tech is already giving out 70,000 wafers a month, and that number is expected to climb to 90,000 by 2026. Thereby, showing just how prepared TSMC is to handle the growing complexity of AI chip designs.
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Founded in 1987 by Morris Chang, Taiwan’s TSMC is a quiet force behind the global tech scene. In the IT world, it’s a key player that helps power some of the biggest names out there. Companies like AMD, Qualcomm, Apple, and Nvidia rely on TSMC to bring their chip designs to life. Whether it’s smartphones or advanced AI technologies, chances are, TSMC is somewhere in the mix.
With demand for faster, more powerful computing growing fast, TSMC’s ability to produce these complex semiconductors at massive scale has made it an essential part of the global supply chain.