TSMC Revenue Up 33%, Signaling Smartphone and AI Chip Demand

TSMC`s August revenue increased by 33%, indicating potential recovery in the smartphone market and continued demand for AI chips. While this growth is slower than the previous month, it surpasses analysts` expectations for the third quarter. The results alleviate concerns about the sustainability of AI infrastructure spending, despite Nvidia`s recent stock decline. TSMC`s revenue is now primarily driven by high-performance computing, including AI chips. The company is also benefiting from Apple`s new iPhone release and the anticipated increase in demand for mobile devices. With a positive business outlook, TSMC is expanding globally, with projects in Arizona, Japan, and Germany.