Benzinga - by Anusuya Lahiri, Benzinga Editor.
Taiwan Semiconductor Manufacturing Co (NYSE:TSM) CEO C.C. Wei will assume the role of chairman, succeeding Mark Liu, who is retiring. Wei has led TSMC since 2018, navigating significant growth and challenges. Under Wei’s leadership, TSMC’s market value nearly tripled, and revenue and net profit more than doubled.
The company has invested heavily in R&D and capital expenditure, tripling its spending to maintain its edge against competitors like Intel Corp (NASDAQ:INTC) and Samsung Electronics Co, the Nikkei Asia reports.
The stock is trading higher Monday after the broader sector noted a selloff following the U.S. government’s AI chip embargo on the Middle East.
Also Read: AMD, TSMC, Broadcom And Other Chip Stocks Hit By Biden’s Fresh AI Chip Export Restrictions: Details
Semiconductor analyst Arisa Liu from the Taiwan Economic Research Institute emphasized that TSMC’s most significant uncertainties stem from politics, including potential changes in the U.S. administration and its stance on Taiwan’s chip industry.
TSMC’s expansion includes new manufacturing sites in Japan, Germany, and the U.S., growing its workforce to over 76,000. Despite not being a politician, Wei is known for his adept management skills and strong customer relations, particularly with demanding clients like Apple Inc (NASDAQ:AAPL).
Recent reports indicated Nvidia Corp (NASDAQ:NVDA) eying Fan-Out Panel Level Packaging (FOPLP) for GB200 AI server chips to beat TSMC’s CoWoS capacity constraints.
Meanwhile, Advanced Micro Devices, Inc (NASDAQ:AMD), which analysts tout as the second most significant AI beneficiary after Nvidia consolidated its partnership with Samsung to develop 3-nanometer chip processing technology. The move will likely help Samsung limit its market share gap with TSMC.
Price Actions: At the last check on Monday, TSM shares traded higher by 2.15% to $154.29 premarket .
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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