New York Tech Media
  • News
  • FinTech
  • AI & Robotics
  • Cybersecurity
  • Startups & Leaders
  • Venture Capital
No Result
View All Result
  • News
  • FinTech
  • AI & Robotics
  • Cybersecurity
  • Startups & Leaders
  • Venture Capital
No Result
View All Result
New York Tech Media
No Result
View All Result
Home News

TSMC earmarks record $44 billion for chip manufacturing expansion in 2022

New York Tech Editorial Team by New York Tech Editorial Team
January 13, 2022
in News
0
TSMC earmarks record $44 billion for chip manufacturing expansion in 2022
Share on FacebookShare on Twitter

Chip manufacturer Taiwan Semiconductor Manufacturing Company (TSMC), which supplies silicon for Apple, Qualcomm, and other tech giants, plans to spend as much as $44 billion to increase its manufacturing capacity in 2022, Reuters reports. In its latest earnings release, the Taiwanese firm said it expects capital spending to be between $40 and $44 billion in 2022, up from a previous record of $30 billion in 2021.

It’s not an entirely unexpected increase, given the company’s previously announced plan to spend $100 billion on expanding its manufacturing capacity through 2023. But the record sum suggests it doesn’t expect demand for chips to slow down anytime soon, despite some analyst warnings of potentials slowdowns in areas like smartphones, the Financial Times notes.

TSMC’s reasoning is that any slowdown will be made up by more product categories like cars and factory equipment starting to require high performance silicon. “We observe end-market demand may slow down in terms of units, but silicon content is increasing,” said the company’s CEO CC Wei, in comments reported by the FT.

Up from $30 billion in 2021

TSMC expects demand to remain high regardless of whether the global chip shortage continues, with Wei noting that it “may or may not persist” in 2022, Nikkei Asia reports. The company expects overall chip manufacturing industry revenue to grow 20 percent this year, but that TSMC will outperform it with revenue growth in the high-20 percent range. Its revenue grew by 25 percent last year.

TSMC expects this growth even as one of its customers, Intel, starts competing with the company’s contract chip manufacturing business under its new CEO Pat Gelsinger. Here’s Bloomberg’s Tim Culpan on why Intel is unlikely to be a direct challenger to TSMC (or its closest competitor Samsung) anytime soon:

“Intel trails both of them in technology prowess, forcing the California company into the ironic position of relying on TSMC to produce its best chips. Gelsinger is confident that he can catch up. Maybe he will, but there’s no way the firm will be able to expand capacity and economies of scale to the point of being financially competitive. Put another way, Intel will need to sacrifice margins to gain the volume needed to fill the fabs he too wants to build.”

Huge demand for chips, not to mention the chip shortage, have helped solidify TSMC’s place as one of the largest and most important companies in the world (in fact, Culpan notes it’s the “largest non-US, non-state-owned enterprise”). And with its ambitious expansion plans, which include new plants in Arizona and Japan, it doesn’t look like this is likely to change.

Credit: Source link

Previous Post

Overinterpretation May Be a Bigger and More Intractable Threat Than Overfitting

Next Post

Golden opportunity: Savvy business alliances propel the robotics sector

New York Tech Editorial Team

New York Tech Editorial Team

New York Tech Media is a leading news publication that aims to provide the latest tech news, fintech, AI & robotics, cybersecurity, startups & leaders, venture capital, and much more!

Next Post
Golden opportunity: Savvy business alliances propel the robotics sector

Golden opportunity: Savvy business alliances propel the robotics sector

  • Trending
  • Comments
  • Latest
Meet the Top 10 K-Pop Artists Taking Over 2024

Meet the Top 10 K-Pop Artists Taking Over 2024

March 17, 2024
Panther for AWS allows security teams to monitor their AWS infrastructure in real-time

Many businesses lack a formal ransomware plan

March 29, 2022
Zach Mulcahey, 25 | Cover Story | Style Weekly

Zach Mulcahey, 25 | Cover Story | Style Weekly

March 29, 2022
How To Pitch The Investor: Ronen Menipaz, Founder of M51

How To Pitch The Investor: Ronen Menipaz, Founder of M51

March 29, 2022
Japanese Space Industry Startup “Synspective” Raises US $100 Million in Funding

Japanese Space Industry Startup “Synspective” Raises US $100 Million in Funding

March 29, 2022
UK VC fund performance up on last year

VC-backed Aerium develops antibody treatment for Covid-19

March 29, 2022
Startups On Demand: renovai is the Netflix of Online Shopping

Startups On Demand: renovai is the Netflix of Online Shopping

2
Robot Company Offers $200K for Right to Use One Applicant’s Face and Voice ‘Forever’

Robot Company Offers $200K for Right to Use One Applicant’s Face and Voice ‘Forever’

1
Menashe Shani Accessibility High Tech on the low

Revolutionizing Accessibility: The Story of Purple Lens

1

Netgear announces a $1,500 Wi-Fi 6E mesh router

0
These apps let you customize Windows 11 to bring the taskbar back to life

These apps let you customize Windows 11 to bring the taskbar back to life

0
This bipedal robot uses propeller arms to slackline and skateboard

This bipedal robot uses propeller arms to slackline and skateboard

0
Coffee Nova’s $COFFEE Token

Coffee Nova’s $COFFEE Token

May 29, 2025
Money TLV website

BridgerPay to Spotlight Cross-Border Payments Innovation at Money TLV 2025

May 27, 2025
The Future of Software Development: Why Low-Code Is Here to Stay

Building Brand Loyalty Starts With Your Team

May 23, 2025
Tork Media Expands Digital Reach with Acquisition of NewsBlaze and Buzzworthy

Creative Swag Ideas for Hackathons & Launch Parties

May 23, 2025
Tork Media Expands Digital Reach with Acquisition of NewsBlaze and Buzzworthy

Strengthening Cloud Security With Automation

May 22, 2025
How Local IT Services in Anderson Can Boost Your Business Efficiency

Why VPNs Are a Must for Entrepreneurs in Asia

May 22, 2025

Recommended

Coffee Nova’s $COFFEE Token

Coffee Nova’s $COFFEE Token

May 29, 2025
Money TLV website

BridgerPay to Spotlight Cross-Border Payments Innovation at Money TLV 2025

May 27, 2025
The Future of Software Development: Why Low-Code Is Here to Stay

Building Brand Loyalty Starts With Your Team

May 23, 2025
Tork Media Expands Digital Reach with Acquisition of NewsBlaze and Buzzworthy

Creative Swag Ideas for Hackathons & Launch Parties

May 23, 2025

Categories

  • AI & Robotics
  • Benzinga
  • Cybersecurity
  • FinTech
  • New York Tech
  • News
  • Startups & Leaders
  • Venture Capital

Tags

3D bio-printing acoustic AI Allseated B2B marketing Business carbon footprint climate change coding Collaborations Companies To Watch consumer tech crypto cryptocurrency deforestation drones earphones Entrepreneur Fetcherr Finance Fintech food security Investing Investors investorsummit israelitech Leaders LinkedIn Leaders Metaverse news OurCrowd PR Real Estate reforestation software start- up Startups Startups On Demand startuptech Tech Tech leaders technology UAVs Unlimited Robotics VC
  • Contact Us
  • Privacy Policy
  • Terms and conditions

© 2024 All Rights Reserved - New York Tech Media

No Result
View All Result
  • News
  • FinTech
  • AI & Robotics
  • Cybersecurity
  • Startups & Leaders
  • Venture Capital

© 2024 All Rights Reserved - New York Tech Media