TSMC sends scouts to check whether America's datacenters can deliver
Silicon giant budgets up to $64B for expansion while keeping an eye on construction progress and power supplies
Taiwan Semiconductor Manufacturing Company (TSMC) is sending staff to assess America's datacenter construction and power availability as it prepares for billions of dollars in additional chipmaking capacity. During its third-quarter earnings call, TSMC warned of potential pressure on consumer markets due to rising component prices and macroeconomic uncertainties, but maintained that demand for AI-driven products, such as CPUs for agentic workloads and networking chips, remains strong.
CEO C.C. Wei stated that TSMC expects capital expenditures of $60 billion to $64 billion for 2026-2028, which exceeds the total for 2023-2025, as the company expands capacity for customers. TSMC is currently planning around 20 leading-edge manufacturing and advanced-packaging facilities, both in Taiwan and overseas. The company is also focusing on optimizing capacity across production nodes to increase wafer output.
While TSMC acknowledges potential constraints such as power shortages, datacenter construction delays, advanced-packaging limitations, and limited supplies of high-bandwidth memory, Wei remains confident that global demand for semiconductors in the AI mega trend will continue to outpace supply. The company is actively working to narrow the gap between demand and supply.
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