Shulou(Shulou.com)11/24 Report--

CTOnews.com October 25 news, TSMC capacity utilization rate is gradually picking up, customer orders are also significantly surge, suggesting that the semiconductor industry release recovery signal. Reported that TSMC 7/6nm production line utilization rate once dropped to 40%, but now recovered to 60%, by the end of this year is expected to reach 70%;5/4nm utilization rate is 75-80%, while seasonal increase of 3nm capacity is about 80%.

At the same time, TSMC's customer orders have increased significantly, including technology giants such as Apple, MediaTek, NVIDIA, AMD, Intel, Broadcom, Marvell and STMicroelectronics.

CTOnews.com previously reported that AMD subsidiaries Xilinx, Amazon, Cisco, Google, Microsoft, Tesla and other AI chip customers have accepted TSMC's 2024 price increase plan.

Tesla, for example, is building a supercomputer facility in Austin to accelerate the development of its autonomous driving system and expand Dojo's computing power. Dojo's core D1 is manufactured using TSMC's 7nm process and advanced packaging technology. Based on this, Tesla is deepening its cooperation with TSMC and expects orders to increase from about 5000 pieces this year to 10000 pieces next year.

In the context of the emerging AI wave, NVIDIA is actively seeking additional capacity. On October 19, Nvidia CEO Huang Renxun revealed in an interview that global demand for AI chips remains strong.

He met with TSMC CEO Wei Zhejia to discuss issues related to providing capacity enhancement, Nvidia is in the planning stage of the next generation chip designed for artificial intelligence infrastructure, and discussed with partners such as Quanta and ASUS to develop cooperation strategies.

Wei Zhejia said in TSMC's third quarter earnings conference call that in addition to strong artificial intelligence demand, demand for smartphones and personal computers is also rebounding. As for automotive electronics, demand is expected to be quite strong next year, benefiting from continued growth in electric vehicles.

In response to industry concerns about smartphone growth, TSMC CFO Renzhao Huang noted that smartphone growth is expected to remain below the company's future growth rate, with high-performance computing (HPC) expected to be the strongest growth area, contributing significantly to growth in the coming years.

Related Reading:

"TSMC's net profit in the third quarter is expected to decline by 30% year-on-year, and it is expected to rebound strongly in 2024"

"TSMC's offer for work below 7nm will rise by another 3-6% in 2024. NVIDIA, AMD, MediaTek, etc. are" willing to accept ""

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