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TSMC: There is no M&A plan to increase production capacity at this stage

  Although TSMC estimates that chip demand will continue to grow at a high rate, the well-known foundry factory does not currently plan to increase its production capacity by acquiring competitors, but to efficiently integrate existing assets. In the first quarter earnings report, TSMC CEO C.C.Wei said: "There is currently no acquisition plan. Of course, if there is a good opportunity to comply with the company's strategy, we will consider it, but at present we do not have any M&A plans."


As the world's largest semiconductor foundry manufacturer, TSMC is determined to maintain its leading position in advanced process technology and manufacturing capabilities. The company is currently gaining share in multiple markets and naturally expects demand for its services to grow in the coming years. In the course of the company's development, TSMC will choose to increase its capacity to meet demand by acquiring competitors. In fact, its subsidiary, Vanguard International Semiconductor (VIS), acquired a factory from GlobalFoundries in Singapore earlier this year.

At present, TSMC and Samsung are the only two foundries that can provide customers with process technology using Extreme Ultraviolet Lithography (EUVL). When and how competitors such as SMIC or UMC are able to provide similar foundry services to customers, it is still uncertain. In addition, TSMC will continue to gain a share of customers who need cutting-edge process technology (CPU, GPU, mobile SoC, etc.) and therefore require production capacity. The company plans to rely entirely on its own fabs rather than acquiring competitors.