Contract chipmaker TSMC to raise prices by up to 10% in 2027, sources say

TSMC (2330.TW), opens new tab, ​the world's largest contract chipmaker, plans to raise chipmaking prices ‌by up to 10% from 2027, two sources familiar with the matter said late on Tuesday. One of the sources said the move is to offset ​rising costs for materials, manufacturing equipment and overseas plant ​construction. Make sense of global markets with the Trading Day newsletter.  Nikkei Asia first reported the price increase plan on Tuesday. Here are ⁠more details:

The base price increases up to 10%, depending on the customer ​and product, according to the sources. Mature-node production, covering 12-nanometre, 16-nm and ​28-nm technologies, faces increases of up to 10%, the sources said. Advanced node production, under 6-nm, also faces increases of up to 10%, one of the sources ​said. Negotiations began in June and concluded in July, with new ​pricing set to take effect at the start of 2027, Nikkei Asia reported.

"Our pricing strategy is strategic, not opportunistic. We will continue to work closely with customers and sell our value to them," ​the spokesperson said.

TSMC ​CEO C.C. Wei ⁠said in June that he would like to hike prices, adding that the company would refrain from ​abrupt price hikes that some memory firms have ​imposed. Last ⁠week, TSMC, widely regarded as a bellwether for AI chip demand, surpassed market expectations to post a 77% jump in second-quarter profit, touching ⁠a record ​high of T$706.6 billion ($22 billion).

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