TSMC Is Spending up to $64 Billion This Year. Here’s Why That’s Great News for Investors.
Taiwan Semiconductor Manufacturing (NYSE: TSM) plans to spend $60 billion to $64 billion this year on new factories and equipment. That’s a lot of cash going out the door, with capital spending totaling a third of trailing-12-month revenue. But for the world’s largest chipmaker, it’s a signal that more growth is coming.
On the Oct. 15 earnings call, CFO Wendell Huang tied spending to long-term demand from customers, including the emerging market for agentic AI — autonomous software that completes tasks on its own. He also said spending from 2026 through 2028 should be significantly higher than in the previous three years.
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