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Key Points

TSMC tightened its grip on the chipmaking industry despite a seasonal revenue dip, now controlling over two-thirds of the foundry market. Samsung’s struggles highlight TSMC’s unmatched position as AI and tariff concerns drive client orders. Chinese rival SMIC maintained its third-place ranking, while smaller players like GlobalFoundries trailed. The top 10 foundries now account for 97% of global revenue, signaling extreme industry consolidation.

Key Points: TSMC Extends Foundry Lead with 67.6% Market Share Amid AI Boom

  • TSMC revenue dipped 5% but gained share to 67.6%
  • Samsung fell to 7.7% amid 11.3% sales drop
  • SMIC held third place with 6% market share
  • Top 10 foundries control 97% of global revenue
2 min read

TSMC market share rises to 67.6% in Q1, extending global foundry lead

TSMC dominates global chipmaking with 67.6% Q1 share as Samsung slips to 7.7%, fueled by AI demand and US tariff hedging.

"TSMC’s resilience stems from AI and HPC demand, offsetting seasonal slowdowns – TrendForce"

New Delhi, June 15

Taiwan Semiconductor Manufacturing Co. (TSMC) has further solidified its dominance in the global pure-play wafer foundry market, growing its market share to 67.6 per cent in the first quarter of this year, according to a report by Taipei-based research firm TrendForce Corp, reported by Focus Taiwan.

Although TSMC's revenue declined by 5 per cent quarter-on-quarter to USD 25.52 billion due to seasonal slowdowns, the company's market share still edged up from 67.1 per cent in the previous quarter. TrendForce attributed this performance to continued strong demand for artificial intelligence (AI) and high-performance computing (HPC) applications, as well as accelerated client orders seeking to mitigate risks from ongoing U.S. tariff policies.

TSMC's closest competitor, South Korea's Samsung Electronics, saw its market share fall to 7.7 per cent, down from 8.1 per cent in the prior quarter. Samsung's foundry sales dropped by 11.3 per cent to USD 2.89 billion over the same period.

China's Semiconductor Manufacturing International Corp. (SMIC) maintained its third-place ranking with a 6.0 per cent market share, ahead of Taiwan's United Microelectronics Corp. (UMC) at 4.7 per cent, and U.S.-based GlobalFoundries at 4.2 per cent.

Rounding out the top 10 were China's Huahong Group (2.7 per cent), Taiwan's Vanguard International Semiconductor Corp. (1.0 per cent), Israel's Tower Semiconductor (0.9 per cent, or USD 35.8 billion), China's NexChip (0.9 per cent, or USD 35.3 billion), and Taiwan's Powerchip Semiconductor Manufacturing Corp. (0.9 per cent, or USD 32.7 billion).

TrendForce noted that the top 10 foundries accounted for a combined USD 36.40 billion in sales during the first quarter, representing about 97 per cent of the global total--an increase from 96 per cent in the previous quarter--despite an overall 5.4 per cent drop in revenue across the group.

- ANI

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Reader Comments

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Rajesh K.
TSMC's dominance shows why India needs to fast-track our semiconductor mission. We can't keep depending on foreign chips forever - look how China is trying with SMIC. Atmanirbhar Bharat should mean real tech independence! 🇮🇳
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Priya M.
Interesting how Taiwan maintains such tech leadership despite geopolitical tensions. Their education system and R&D investments are worth studying. Maybe India-Taiwan collaborations could help bridge our skill gap in semiconductor manufacturing?
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Amit S.
The AI chip demand is skyrocketing! TSMC is riding this wave perfectly. Hope Indian startups like Mindgrove can tap into this opportunity with our own designs. Jai AI, Jai Bharat! 🤖
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Sunita R.
While TSMC's growth is impressive, this concentration risk worries me. What if China-Taiwan tensions disrupt supply chains? India should diversify partnerships - maybe work more with Israel's Tower Semiconductor too.
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Vikram J.
The numbers don't lie - 67.6% market share is insane! But remember, even TSMC had to start somewhere. Our Tata and Vedanta semiconductor plants may take 5-10 years to compete, but we must stay the course. Slow and steady wins the race!

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