Catenaa, Monday, November 10, 2025- Taiwan Semiconductor Manufacturing Company(TSMC) reported slowing growth in monthly revenue as investors debate the sustainability of an AI boom.
TSMC posted a 16.9% rise in sales for October, the slowest pace since February 2024. Still, that is on track with the average analyst estimate of a 16% sales increase in the current quarter.
TSMC stock rose over 3% on the New York Stock Exchange on Monday morning. The stock is up by over 47% so far this year.
Industry executives remain buoyant about AI-driven growth as major tech firms are accelerating investments in data centers. The TSMC revenue gain covers just a single month of business, offering investors less insight.
Meta Platforms, Alphabet, Amazon and Microsoft will collectively spend more than $400 billion to fund an AI buildout next year, a 21% hike from 2025, to secure leadership in the race in emerging technologies.
Chief Executive Officer Jensen Huang of Nvidia, which is the primary AI chip supplier to major companies, said on Saturday his business is “growing month by month, stronger and stronger.”
Huang met TSMC Chief Executive Officer C.C. Wei and asked for more chip supplies during his two-day whirlwind trip to Taiwan. Major chip designers are all trying to extract more production from the Hsinchu-based company, which is constrained by limited capacity.
TSMC is the go-to chipmaker for the Santa Clara, California-based firm’s competitors, including Advanced Micro Devices and Qualcomm, and it makes Apple silicon for iPhones and other gadgets.
Huang’s optimism is shared by his rivals. Qualcomm Chief Executive Officer Cristiano Amon told Bloomberg TV last week that the world is underestimating how big AI will get.
In October, Wei told analysts that TSMC’s capacity was still very tight and the company is working hard to narrow the gap between demand and supplies.
