TSMC eyes price hikes of up to 25% on chip production services in 2027

8 hours ago

TSMC plans to raise baseline prices for advanced chip production services by 5% to 10% in 2027.
Customers needing extra HPC capacity beyond original volume may face an additional 10% to 15% premium, totaling up to 25%.
Mature process nodes (12nm, 16nm, 28nm) will also see price increases, up to 10%.
The price hikes aim to offset increased costs from AI demand, tools, materials, and new capacity investments.
Negotiations with clients like Apple, AMD, Nvidia, and MediaTek began in June and concluded in July, with implementation delayed to 2027.
TSMC's price increases will likely raise costs across the electronics industry due to its dominant market position.
Other foundries and memory makers are also raising prices, but TSMC CEO C.C. Wei denies sudden or drastic hikes.

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