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TSMC boosts 2019 capex to $12.5 billion on strong demand

Posted on Tuesday, September 10 2019 @ 10:40:29 CEST by

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Industry sources told DigiTimes that TSMC's capital expenditures (capex) is likely to exceed the company's previous guidance range of $10 billion to $11 billion.

The Taiwanese foundry is seeing strong demand for its 7nm node and is stepping up its 5nm efforts, which is seen resulting in total capex of $12.5 billion for 2019. In particular, 5G is seen as a strong growth driver:
TSMC expects it 2019 capex to exceed the high end of its previous guidance range of US$10 billion to US$11 billion, as the pure-play foundry steps up efforts to expand its 7nm process capacity and develop a newer 5nm node ready for new customer designs in 2020. Industry sources say TSMC's capex for the year is likely to reach US$12.5 billion, judging from the need to satisfy robust chip demand in the 5G era.



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