TSMC sales jump on strong AI demand

Taiwan Semiconductor Manufacturing Co. reported a 30% increase in sales for the first two months of the year, driven by strong demand for artificial intelligence infrastructure before the outbreak of conflict in the Middle East.

The company said revenue for January and February reached NT$718.9 billion ($22.6 billion). February sales alone rose 22%, though growth was partly affected by the Lunar New Year holidays, which fell in January in 2025, News.Az reports, citing Bloomberg.

Analysts expect the chipmaker’s first-quarter revenue to increase by about 33%.

TSMC, a key supplier for companies such as Nvidia, Advanced Micro Devices and Broadcom, is widely viewed as a bellwether for the global AI industry.

Attention is now turning to how the conflict involving the United States, Israel and Iran may affect investment in data centres and other digital infrastructure.

Major technology firms including Alphabet, Amazon, Meta Platforms and Microsoft have collectively earmarked more than $650 billion in spending this year to expand AI capabilities, although concerns about potential overcapacity and monetisation remain.

The construction of AI data centres can cost tens of billions of dollars and requires coordination with power providers, electrical grid operators, suppliers and financing partners.

Meanwhile, Oracle and OpenAI recently scrapped plans to expand a flagship AI data centre in Texas after prolonged negotiations over financing and changing requirements.

News.Az 

By Nijat Babayev