Jan. 15 at 4:49 PM
Chip stocks surged after Taiwan Semiconductor Manufacturing issued a far stronger-than-expected investment outlook, signaling sustained demand driven by AI. TSMC forecast 2026 capital expenditures of
$52 billion to
$56 billion, well above 2025 levels, and said spending over the next three years will be “significantly higher,” with a major acceleration expected in 2028–2029.
TSMC CEO C.C. Wei said the increased investment reflects verified customer demand, particularly for AI chips, and follows extensive checks with key clients. As the world’s dominant AI chip manufacturer, TSMC’s plans suggest customers will continue heavy spending for years.
The outlook boosted semiconductor equipment makers, with ASML, Applied Materials, Lam Research, and KLA rising between 6% and 8%, as higher capex directly benefits suppliers of chipmaking tools.
$ASML $AMAT $LRCX $KLAC