TSMC Emerges as World’s Top Semiconductor Company in 2023, Surpassing Intel and Samsung

Notably, TSMC's operating profit was a commanding $8.16 billion, while Samsung experienced a loss of $1.86 billion, and Intel secured a profit of $2.59 billion.

Introduction:

In a significant milestone for the global semiconductor industry, Taiwan Semiconductor Manufacturing Company (TSMC) achieved a groundbreaking feat in 2023 by becoming the world’s leading semiconductor company in terms of revenue. This marked the first time in several years that the industry witnessed a shift in its paramount position, with TSMC surpassing long-time leaders Intel and Samsung.

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TSMC is World’s Top Semiconductor Company:

According to a Twitter thread by Dan Nystedt, vice president and research analyst at TriOrient Investments, TSMC reported an impressive $69.30 billion (NT$2.17 trillion) in revenue for the year 2023. This substantial figure far exceeded the annual revenues reported by key competitors, with Intel at $54.23 billion and Samsung’s chip division at $50.99 billion.

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Historical Perspective of TSMC as World’s Top Semiconductor Company:

This achievement marked a pivotal moment, as it signaled the end of Intel’s reign as the industry leader since 1992. The last significant shift occurred in 2017 when Samsung surpassed Intel. Now, after six years, TSMC has emerged as the dominant force in the semiconductor landscape.

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Nvidia’s Strong Showing:

While TSMC’s triumph was indisputable, Nystedt highlighted that Nvidia, with a revenue of $58.82 billion, managed to outpace both Samsung and Intel. However, TSMC maintained a clear lead, solidifying its position at the forefront of the semiconductor industry.

Quarterly Performance:

In the fourth quarter alone, TSMC continued its impressive performance, reporting $19.55 billion in revenue. Samsung’s chip division followed at $16.42 billion, and Intel trailed with $15.41 billion. This quarterly dominance further underscored TSMC’s stronghold in the market.

Financial Prowess:

Notably, TSMC’s operating profit was a commanding $8.16 billion, while Samsung experienced a loss of $1.86 billion, and Intel secured a profit of $2.59 billion. This financial disparity demonstrated TSMC’s robust financial standing and efficiency in comparison to its rivals.

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TSMC’s Unique Position as World’s Top Semiconductor Company:

Shen Jung-chin, an assistant professor at York University, emphasized the unique nature of TSMC’s success. Unlike many top semiconductor firms, TSMC operates primarily as a supplier rather than a designer with chips under its own brand name. Despite this distinction, TSMC’s remarkable revenues in 2023 positioned it as the “biggest semiconductor company – of any kind – in the world.”

Conclusion:

In 2023, TSMC became the top semiconductor company, signaling a shift in industry leadership. Established in 1987, TSMC has grown into the largest wafer foundry and a global semiconductor powerhouse. This ascent highlights TSMC’s strength and adaptability over the years. This triumph reflects the culmination of decades of innovation, strategic partnerships, and consistent excellence in semiconductor manufacturing.

Kumar Priyadarshi
Kumar Priyadarshi

Kumar Priyadarshi is a prominent figure in the world of technology and semiconductors. With a deep passion for innovation and a keen understanding of the intricacies of the semiconductor industry, Kumar has established himself as a thought leader and expert in the field. He is the founder of Techovedas, India’s first semiconductor and AI tech media company, where he shares insights, analysis, and trends related to the semiconductor and AI industries.

Kumar Joined IISER Pune after qualifying IIT-JEE in 2012. In his 5th year, he travelled to Singapore for his master’s thesis which yielded a Research Paper in ACS Nano. Kumar Joined Global Foundries as a process Engineer in Singapore working at 40 nm Process node. He couldn’t find joy working in the fab and moved to India. Working as a scientist at IIT Bombay as Senior Scientist, Kumar Led the team which built India’s 1st Memory Chip with Semiconductor Lab (SCL)

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