TSMC chip capacity is ‘fierce’ battleground for AI customers, amid record quarter

As Taiwan Semiconductor Manufacturing Co .'s record quarter makes clear, demand from chipmakers shows no sign of slowing down. In fact, TSMC can't manufacture quickly enough. The artificial intelligence boom has created unending need for space on factory lines at the world's leading chip manufacturer, and it could put a chokehold on the entire industry's ability to scale. Last year, TSMC said it had the capacity to make more than 17 million 12-inch equivalent wafers. But customers want more. "The competition is extremely fierce," said Jordan Klein, an analyst at Mizuho Securities. "It's a game of who can get the most leverage and supply.