Company Name: Taiwan Semiconductor Manufacturing Company Limited
Industry: Semiconductors
Sector: Technology
Description: Taiwan Semiconductor Manufacturing Company Limited, or TSMC, is the world’s largest contract chipmaker, providing semiconductor manufacturing services to a wide range of customers in various industries, such as computing, communications, consumer electronics, automotive, and industrial.
TSMC was founded in 1987 by Morris Chang, who pioneered the pure-play foundry model, and is headquartered in Hsinchu, Taiwan. The company has more than 50,000 employees and operates in Taiwan, China, the United States, Europe, Japan, and other regions.
TSMC’s main source of revenue is wafer fabrication, which accounts for more than 95% of its total revenue. The company offers various process technologies, ranging from 0.5 micron to the most advanced 7 nanometer and beyond, to manufacture logic, mixed-signal, radio frequency, embedded memory, and other types of integrated circuits. TSMC also provides mask making, wafer probing, assembly, testing, and design services. Some of its popular products include Apple’s A-series chips, Nvidia’s GeForce GPUs, AMD’s Ryzen CPUs, Qualcomm’s Snapdragon SoCs, and MediaTek’s Helio chipsets.
TSMC is one of the most valuable and profitable companies in the technology industry, with a market capitalization of over $488 billion and a net income of over $22 billion in 2022. The company has several competitive advantages that enable it to maintain its leadership position in the semiconductor industry, such as:
Technology leadership: TSMC is the first and only company to offer 7 nanometer process technology for mass production, and is on track to deliver 5 nanometer and 3 nanometer technologies in the near future. TSMC also invests heavily in research and development, and has a portfolio of innovative and differentiated technologies, such as extreme ultraviolet lithography, chip stacking, and silicon photonics.
Customer loyalty and diversification: TSMC serves more than 500 customers, including some of the world’s leading technology companies, such as Apple, Nvidia, AMD, Qualcomm, and MediaTek. TSMC has built strong relationships with its customers, by offering high-quality, reliable, and customized solutions, and by collaborating closely on design and co-optimization. TSMC also benefits from the diversification of its customer base, as it caters to different end markets, applications, and product cycles.
Operational excellence and scale: TSMC operates more than 10 fabs, with a total capacity of about 12 million 12-inch equivalent wafers per year, making it the largest semiconductor manufacturer in the world. TSMC leverages its economies of scale, efficient supply chain, advanced automation, and continuous improvement to achieve high levels of productivity, quality, and cost efficiency. TSMC also has a flexible and agile production system, that enables it to respond quickly to customer demand and market changes.
CEO: Dr. C. C. Wei
Website: https://www.tsmc.comExchange: New York Stock Exchange