TSMC struggles to keep up with AI demand: ‘We can only support so much’

Taiwan Semiconductor Manufacturing Co. — the world’s biggest semiconductor-maker — is struggling to meet demands from American customers even with its factory buildout in the US, according to reports from Reuters and Bloomberg . “Customer demand is so high, and we can only support so much,” TSMC CEO C.C. Wei said after a shareholder meeting on Thursday, Reuters reports. “We are doing our best to ensure TSMC does not become a bottleneck.” The surge in AI use has already put constraints on the memory industry , with the widespread shortage of RAM and NAND Flash memory expected to last for years . The AI boom is boosting the sale of semiconductors as well, which could become a $1 trillion industry by 2027, according to research from Deloitte . While Wei said he’d “like” to raise TSMC’s prices, the company wouldn’t issue an abrupt increase like we’ve seen with DRAM and SSDs, as reported by Reuters . Wei added it could take a “very long time” to fulfill its customers’ needs with US-based production, according to Reuters . TSMC has already opened a factory in Arizona and plans to invest $165 billion to build three additional plants in the US , alongside two advanced packaging facilities and a research and development center.