TSMC CEO says he’d ‘like’ to raise chip prices amid AI boom

TSMC CEO Signals Confidence in AI Boom, Says He’d ‘Like’ to Raise Chip Prices

Taiwan Semiconductor Manufacturing Co. CEO C.C. Wei told shareholders on Thursday that the company is striving to keep pace with relentless demand driven by artificial intelligence, while signaling openness to raising prices on its advanced chips.

Demand Outstrips Supply

Speaking at TSMC’s annual shareholder meeting in Hsinchu, Taiwan, Wei said customer demand for AI chips continues to outpace what the company can produce. “Customer demand is so high, and we can only support so much. We are already working very hard,” Wei told reporters after the meeting, according to Reuters. “We are doing our best to ensure TSMC does not become a bottleneck.”wtvbam

Asked whether the company could raise prices, Wei said he would “like to do that,” though he added TSMC would avoid the abrupt hikes imposed by some memory chip firms. “I envy their 80% gross margins, but I would never do that,” he said.wtvbam

The remarks come amid reports that TSMC is planning increases of up to 15 percent on its 3-nanometer chips in the second half of 2026, with a further 5 to 10 percent hike possible in 2027, according to Taiwan’s Commercial Times as reported by TrendForce.trendforce

Record Results and Growth Outlook

Wei highlighted a record year in 2025, with consolidated revenue reaching NT$3.81 trillion ($120.98 billion), up 31.6 percent from the prior year, while diluted earnings per share jumped 46.4 percent to NT$66.25. The company’s stock more than doubled over the past year, rising from NT$950 to NT$2,425.focustaiwan

TSMC expects revenue growth of more than 30 percent again in 2026, driven by expanding AI applications across consumer, enterprise, and sovereign use cases. Wei said employee profit sharing would rise by about 30 percent for a third consecutive year.wtvbam

Taiwan’s Role in the AI Supply Chain

Wei’s comments coincided with the annual Computex conference in Taipei, running June 2 through 6, where executives from Nvidia and Intel praised Taiwan’s central position in the global AI ecosystem. Nvidia CEO Jensen Huang delivered a keynote earlier in the week highlighting the collaborative relationship between his company and Taiwanese partners.nvidia

On TSMC’s $165 billion investment in new factories in Arizona, Wei said it would take a “very long time” to fully satisfy American customers’ needs with U.S. production, and that the company’s previous target of placing 30 percent of its most advanced capacity in the U.S. was becoming difficult to achieve due to permitting delays and construction worker shortages.wtvbam

“Taiwan will continue to have a very significant advantage in the AI industry,” Wei said. “For the foreseeable future, it will not be easy for other countries to compete.”wtvbam