Taiwan Semiconductor Manufacturing Company (TSMC), the world’s leading chipmaker, reported record revenue in 2024, driven by surging demand for artificial intelligence chips.
The company posted fourth-quarter revenue of 868.5 billion New Taiwan dollars (approximately $26.3 billion), surpassing analyst estimates of 850.1 billion NTD and marking a 38.8% year-on-year increase.
For the full year, TSMC achieved an all-time high annual revenue of 2.9 trillion NTD, the highest since its public listing in 1994.
TSMC produces semiconductors for major global companies like Apple and Nvidia, and its advanced manufacturing capabilities position it as a leader in the industry.
The company’s 3-nanometer and 5-nanometer chip production, crucial for AI graphics processing units (GPUs) and cutting-edge smartphone semiconductors, consistently exceeds full capacity utilization.
Strong AI-driven demand, particularly for Nvidia’s GPUs and related chips, has played a significant role in this growth.
According to Brady Wang, associate director at Counterpoint Research, TSMC has significantly benefited from the AI boom, with its advanced chip processes in high demand.
The company’s Taiwan-listed shares have surged 88% in the past year, reflecting investor confidence in its continued dominance in the semiconductor market.
TSMC’s performance indicates sustained momentum in AI chip demand, with potential for continued growth in 2025.
The broader tech sector is also seeing increased investments in AI-related infrastructure. Foxconn, which assembles Apple’s iPhones, reported record Q4 revenue, driven by demand for AI servers. Additionally, Microsoft announced plans to spend $80 billion by June on building data centers capable of handling AI workloads.
TSMC’s record-breaking revenue underscores the transformative impact of AI on the semiconductor industry and highlights the company’s pivotal role in enabling advancements in artificial intelligence technologies globally.
