The Taiwanese semiconductor giant, TSMC, will announce this week that its profits during the third quarter of 2024 increased by 40%, driven precisely by the demand for semiconductors for AI. This translates into net profits of more than $9 billion. In this context of success, TSMC has not only focused on maintaining its leadership, but has decided to commit to ambitious global expansion. The company has operating plants in Taiwan, the United States and China, and is currently building new factories in Arizona (USA), Taiwan and Japan. In addition, the construction of a plant in Germany has begun, which reinforces its strategy of geographical diversification and production capacity.
One of the most recent and important moves in TSMC’s expansion plans is its growing interest in Europe. According to statements by Wu Cheng-wen, minister of the National Council of Science and Technology of Taiwan, the company is evaluating the construction of new factories specialized in semiconductors for AI on this continent. The plant currently under construction in Dresden, Germany, could be accompanied by other facilities in Europe, and the Czech Republic has emerged as a strong candidate to host future factories.
This expansion reinforces TSMC’s strategy to diversify its production capabilities beyond Asia and North America, taking advantage of growing demand for semiconductors in sectors such as artificial intelligence and advanced technology.
TSMC, powered by artificial intelligence, sees a massive increase in its sales
Trouble in Arizona, success in Japan
Despite its financial success and global expansion, not everything has been easy for TSMC. The factories the company is building in Phoenix, Arizona, have presented significant challenges. Among the main obstacles are the lack of qualified personnel and problems with worker unions. In addition, the local government has had difficulties establishing the legal framework necessary for the operation of a cutting-edge semiconductor factory, which has slowed down the project.
On the contrary, the situation in Japan has been very different. During the inauguration of the Kumamoto plant, located on the island of Kyushu, Morris Chang, founder of TSMC, praised the speed and efficiency with which the Japanese government approved the subsidy for the construction of the plant. Chang also highlighted the efficiency with which the Japanese companies involved carried out their work, which has allowed the project to move forward smoothly.
Source: https://reporteasia.com/economia/2024/10/14/tsmc-planea-aumentar-su-produccion-de-chips-en-europa/
