Taiwan Semiconductor Manufacturing Co. (TSMC) announced Thursday it plans to invest an additional $100 billion in expanding its chipmaking capacity within the United States. This latest commitment increases the company's total planned investment in U.S. chip manufacturing to $265 billion.
The expansion will primarily focus on facilities in Arizona, where TSMC had previously committed $165 billion for the construction of six fabrication plants. C.C. Wei, chairman and CEO of TSMC, confirmed the new pledge during the company's quarterly earnings conference.
This significant investment follows a period of record profits for TSMC, driven by high demand for chips used in artificial intelligence applications. The company is a key supplier for major technology firms, including Nvidia and Apple.
In its second-quarter earnings report, TSMC announced a net profit of 706.6 billion new Taiwan dollars (approximately $22 billion), a 77% increase compared to the same period a year prior. This figure exceeded analyst expectations.
TSMC also raised its annual capital expenditure forecast for the year to between $60 billion and $64 billion, an increase from its earlier projection of $52 billion to $56 billion.