TSMC Capacity Fully Booked Spurs AMD, Intel Rally; FY2026 Revenue Up 27.5%
TSM•TSMC’s leading-edge capacity is fully booked, prompting AMD to seek Samsung for wafer output and driving AMD and Intel shares up about 3% and 4%. It now projects FY2026 revenue of $163.8 billion—27.5% above prior estimates—supported by AI and data center demand and backed by a $106 billion cash balance.
1. Capacity Constraints Drive Competitor Gains
TSMC’s leading-edge tooling is booked through its production schedule, leading AMD shares to climb about 3% in premarket trading and Intel shares to rise roughly 4% as investors weigh tighter supply dynamics.
2. Samsung Discussions Targeted Chip Production
Samsung Electronics is in talks with AMD, Alphabet, BYD and Tesla to divert some advanced chip output from TSMC, potentially loosening a supply bottleneck and diversifying production sources.
3. Upgraded FY2026 Revenue Forecast
TSMC raised its FY2026 revenue forecast to $163.8 billion, a 27.5% increase over prior estimates, driven by surging demand for AI accelerators and data center processors.
4. Strong Cash Position Supports Expansion
With a $106 billion cash balance, TSMC is positioned to invest in capacity expansion and margin-enhancing technologies to meet future chipmaking demand.
