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TSMC to increase chip prices in 2027
TSMC (Taiwan Semiconductor Manufacturing Company) plans to raise chip manufacturing prices by up to 10% starting in 2027 to offset rising costs of raw materials, equipment, and building factories outside of Taiwan. The increases will apply to all types of chips, including mature process technologies under 6 nanometers and advanced ones, with variations in the percentage depending on the client and product type. Negotiations with customers began in June and will conclude in July, with the new prices taking effect at the start of 2027. The company has not officially commented on the decision but reaffirmed its commitment to its pricing strategy and working with customers to deliver value. TSMC is considered a key indicator of global demand for AI chips, and in the second quarter, it reported a 77% increase in profits, reaching approximately $22 billion.
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