Nikkei Asia reports that Taiwan Semiconductor Manufacturing Co. (TSMC) plans to increase chip production prices by 5% to 10% in 2027. These adjustments will apply to both advanced and mature manufacturing processes. The price hikes will affect major customers including Apple, Nvidia, and AMD.
TSMC attributes the increases to rising costs for materials, new equipment, and overseas facility construction. The company recently reported record-breaking second-quarter profits and raised its revenue forecast. Strong demand from the artificial intelligence sector supports these price adjustments. Negotiations with clients reportedly occurred between June and July.
TSMC describes its pricing strategy as strategic rather than opportunistic. The company has not officially confirmed the specific price changes. TSMC American depositary receipts rose approximately 4% in pre-market trading following the report.