TSMC has notified customers of consecutive annual price hikes for advanced chips starting January 1, 2026, with increases of 3-10% expected through 2029 as production capacity for sub-3nm nodes remains severely constrained by AI demand.
The world's largest contract chipmaker's shares hit a record high of NT$1,530 on December 29, 2025, as investors responded to reports that tight supply and strong bookings from Nvidia, Apple, AMD, and Broadcom are driving pricing power.
TSMC's chairman stated in November that the company's advanced-node capacity falls roughly three times short of customer demand, with analysts expecting the price increases to bolster the chipmaker's traditionally weak first quarter when it holds its investor conference on January 15, 2026.
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