Driven by 5G and AI application development, TSMC welcomes the strongest first quarter in history

On January 17, according to Taiwan media reports, TSMC announced yesterday that, driven by the rapid development of 5G and AI applications, this quarter will be the most prosperous first quarter of TSMC.

TSMC’s fourth quarter financial report showed that the company’s fourth quarter revenue was 10.39 billion US dollars, an increase of 10.6% year-on-year. Operating margin was 39.2%. TSMC expects revenue in the first quarter of this year to be between $ 10.2 billion and $ 10.3 billion.

Taiwan media estimates that TSMC’s revenue this year is expected to reach 1.2 trillion yuan (about 40.1 billion US dollars), an increase of 200 billion yuan from last year.

TSMC has full confidence in this year’s growth. President Wei Zhejia predicts that the global foundry output value will increase by 17% this year. TSMC is benefiting from 5G and AI. The demand for advanced processes such as 7nm and 5nm is strong. It is confident that its operations will exceed the industry average this year.

Wei Zhejia said that TSMC’s four technology platforms: smartphones, high-performance computing, automotive electronics, and the Internet of Things will all grow strongly this year. Among them, smartphones and high-performance computing-related chips have the strongest kinetic energy, with an increase of more than 20%. Electronics and IoT chips also increased by 15%.

Wei Zhejia said that the global 5G infrastructure construction momentum is getting stronger and stronger. It is estimated that the penetration rate of 5G mobile phones will reach 15% this year, but the speed of pulling up will be faster than 4G.

Founded in 1987, TSMC is the world’s largest foundry semiconductor manufacturing plant. Customers include Apple, Qualcomm, Huawei, and more. Its headquarters is located in Hsinchu Science and Technology Industrial Park, Hsinchu, Taiwan. TSMC’s stock is listed on the Taiwan Stock Exchange with a stock code of 2330. In addition, American Depositary Receipts are listed on the New York Stock Exchange and the stock code is TSM.

US stocks closed on Thursday, and TSMC (NYSE: TSM) rose 0.62% to $ 58.75 with a total market value of about $ 304.682 billion.

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