(Bloomberg) — Taiwan Semiconductor Manufacturing Co.\u2019s revenue topped estimates, reinforcing hopes of sustained global AI spending in 2026 despite concerns about an industry bubble.<\/p>\n
The go-to chipmaker for Nvidia Corp. reported a roughly 20% rise in December-quarter revenue to NT$1.05 trillion ($33.1 billion), based on calculations off monthly figures. That compares with an average projection for NT$1.02 trillion.<\/p>\n
Most Read from Bloomberg<\/p>\n
Boosted by demand for data center chips, Nvidia executives expressed optimism this week about a brighter revenue outlook, countering fears that infrastructure construction is outpacing AI adoption. TSMC, a major manufacturer of chips for Apple Inc., may have gotten a boost also from strong sales of the iPhone 17 launched in September.<\/p>\n
TSMC has been one of the biggest beneficiaries of the post-ChatGPT AI boom, riding its central role in manufacturing advanced AI accelerators. Global technology giants from Microsoft Corp. to Meta Platforms Inc. are spending upwards of $1 trillion collectively on data center projects to capitalize on growing AI adoption, but investors worry that the capacity in train will surpass actual usage.<\/p>\n
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The circular nature of many of those data center arrangements, in which investments and spending go back and forth between OpenAI and a few publicly traded tech giants, also concerns Wall Street.<\/p>\n
What Bloomberg Intelligence Says<\/p>\n
TSMC\u2019s traditional seasonality lull is being neutralized by the demand for its leading-edge nodes \u2014 key to producing AI and Apple chips \u2014 as demonstrated by 4Q sales of NT$1.05 trillion outpacing guidance. We see this positive momentum continuing to support flat quarter-over-quarter guidance vs. historical drops. The focus is now on TSMC\u2019s 4Q results call on Jan. 15, when management should confirm a solid sales-growth trajectory, and issue a 2026 capital-spending budget of $48 billion-plus (based on our calculations), up 20% vs. 2025.<\/p>\n
– Charles Shum, analyst<\/p>\n
Click here for the research.<\/p>\n
TSMC will report full quarterly earnings next week, along with a forecast on capital spending for 2026. Last year, the company benefited from rush orders when clients stockpiled chips before US tariffs kicked in. It earmarked $40 billion to $42 billion for expansion and upgrades in 2025.<\/p>\n","protected":false},"excerpt":{"rendered":"(Bloomberg) — Taiwan Semiconductor Manufacturing Co.\u2019s revenue topped estimates, reinforcing hopes of sustained global AI spending in 2026…\n","protected":false},"author":3,"featured_media":503650,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[3638,64,225804,5880,1671,31780,74751,67,132,68],"class_list":{"0":"post-503649","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-bloomberg","9":"tag-business","10":"tag-company-filings","11":"tag-data-center","12":"tag-nvidia","13":"tag-taiwan-semiconductor-manufacturing","14":"tag-tsmc","15":"tag-united-states","16":"tag-unitedstates","17":"tag-us"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/115865015033862197","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/503649","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=503649"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/503649\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/503650"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=503649"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=503649"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=503649"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}