The world's leading dedicated semiconductor foundry, manufacturing advanced chips for technology companies around the world.
★★★★★
★★★★★
★★★★
Very Strong
What Taiwan does
TSMC manufactures semiconductors for customers across AI, high-performance computing, smartphones, automotive systems, and other technology markets.
Founded
1987
Hsinchu Science Park, Hsinchu, Taiwan
CEO
C. C. Wei
Since 2018
Market cap
$2300B
Revenue (FY25)
$122.42B
+35.9% YoY
30-Second Summary
A plain-English explanation of TSMC's business model
If you only remember one thing
TSMC manufactures chips for other technology companies. Customers design their own processors and other semiconductors, then rely on TSMC to manufacture them using specialized factories and production processes. TSMC earns revenue by producing and selling these chips to customers. Its advanced manufacturing capabilities, manufacturing scale, and expertise make it an important supplier to industries including AI, data centers, smartphones, networking, automotive technology, and consumer electronics.
Business Segments
Where Taiwan's $122.42B Fiscal year 2025 (ended December 31, 2025) comes from
$122.42B
Fiscal year 2025
57% of revenue ·+48.5% YoY
29% of revenue ·+10.5% YoY
5% of revenue ·+15.4% YoY
5% of revenue ·+34% YoY
Business Model
How Taiwan makes money — the ecosystem flywheel
Receive Chip Designs
Manufacture Chips
Strengths & Risks
What makes Taiwan strong — and what could go wrong
Advanced Manufacturing Expertise
TSMC has extensive experience manufacturing complex semiconductors and developing advanced process technologies for demanding customers.
Critical Industry Position
TSMC is a major manufacturing partner for companies producing processors and other chips used in AI, smartphones, data centers, and consumer electronics.
Large Customer Ecosystem
TSMC serves customers across several semiconductor markets, including high-performance computing, smartphones, automotive, and Internet of Things applications.
Strong Profitability
TSMC reported a 59.9% gross profit margin and a 50.8% operating profit margin for 2025, reflecting strong manufacturing economics and demand for its technologies.
Manufacturing Scale
Semiconductor production requires specialized facilities, equipment, process knowledge, and sustained investment, creating substantial barriers to entry.
Financial Overview
Fiscal year 2025 (ended December 31, 2025)
$122.42B
+35.9% YoY
FY25
$55.21B
+51.2% YoY
FY25
$32B
+12% YoY
FY25
TSMC generated approximately $122.42B in revenue and $55.21B in net income in fiscal 2025. Its revenue increased 35.9% in US dollar terms compared with 2024, while net income increased 51.2%. The company continues to invest heavily in semiconductor manufacturing capacity and advanced process technologies.
Financial History
5-year trend, fiscal years 2021–2025; revenue and net income are reported in USD, while free cash flow is converted from reported NT$ amounts using each year's revenue exchange ratio.
$122.42B
+115% since FY21
Business Ecosystem
Who Taiwan depends on — and who depends on Taiwan
Chip Designers
Semiconductor companies design processors, AI accelerators, networking chips, and other products that TSMC manufactures.
Equipment & Materials Suppliers
Specialized equipment manufacturers and materials suppliers provide the machinery, chemicals, silicon wafers, and other inputs needed for semiconductor production.
Technology Markets
Finished semiconductors are used in AI infrastructure, data centers, smartphones, automotive systems, networking equipment, and consumer electronics.
TSMC
Dedicated semiconductor foundry
Competitors
Companies used as broad comparison references for TSMC's semiconductor manufacturing business. These companies operate in different parts of the semiconductor value chain, so they should not be interpreted as direct one-to-one competitors. Market capitalization values must use a consistent snapshot date.
Samsung Electronics
$1.2T
Samsung operates semiconductor manufacturing facilities and competes in selected foundry markets while also designing and selling its own chips and electronics.
Intel
$535.7B
Intel designs processors and operates semiconductor manufacturing facilities, making it a relevant comparison for advanced chip production, though its business model differs from TSMC's pure-play foundry model.
GlobalFoundries
$0B
NVIDIA Corporation
Designs the GPUs, networking systems, and software that power modern AI, accelerated computing, gaming, and autonomous machines.
Advanced Micro Devices, Inc.
Designs high-performance processors, graphics chips, and adaptive computing products for data centers, PCs, gaming, and embedded systems.
