CEO C.C. Wei said AI chip supply will lag demand for years, even with more U.S. capacity, as TSMC keeps heavy investment plans and sees strong spending from major cloud groups.
TSMC warned that global supply of chips used for artificial intelligence will remain tight for years as demand continues to outpace production. At its annual shareholder meeting in Hsinchu, Chairman and CEO C.C. Wei said expanded manufacturing capacity in the United States will still not fully meet customer needs soon. He reiterated that TSMC expects sales to grow by more than 30% this year and that capital spending is likely to come in near the upper end of its $56 billion plan. Wei also said major global hyperscalers are projected to spend $725 billion on AI, underscoring the scale of demand for advanced semiconductors. The prolonged imbalance could constrain AI deployment and other high-performance computing uses across the broader technology sector. TSMC shares in Taipei fell 1%, while employee bonuses are set to increase by more than 30% on average.