TAIPEI (AFP) – Chipmaking giant TSMC on Thursday announced a better-than-expected net profit for the fourth quarter as it benefits from booming demand for AI technology.
Taiwan Semiconductor Manufacturing Company is the world’s largest contract maker of chips that are used in everything from Apple’s iPhones to Nvidia’s cutting-edge artificial intelligence hardware.
The firm said net profit for the three months to December jumped 57 per cent on-year to TWD374.7 billion (USD11.4 billion).
That was better than the TWD369.8 billion forecast by analysts surveyed by Bloomberg News, and underscores expectations for sustained spending on AI infrastructure from the likes of Microsoft and Amazon.
Net revenue for the fourth quarter rose 38.8 per cent to TWD868.46 billion, TMSC said, beating forecasts.
TSMC said last week that net revenue rose 33.9 per cent to TWD2.9 trillion (USD87.8 billion) in 2024.
Taiwan’s largest company is at the forefront of the AI revolution but it has been grappling with geopolitical tensions between Beijing and Washington over technology, trade and Taiwan.
The United States this week tightened controls on high-end chip exports as it seeks to curb the flow of the advanced technology to China.
TSMC has been under pressure to move more of its production away from Taiwan, where the bulk of its fabrication plants are located.
