Khaberni - Taiwanese "TSMC", the world's largest contract manufacturer of semiconductors, has raised its forecasts for the size of the global chip market.
It said that the market size is expected to rise to 1.5 trillion dollars by 2030, compared with its previous estimate of one trillion dollars, as demand for artificial intelligence applications and high-performance computing accelerates.
The company, in presentation materials provided ahead of a technical seminar held on Thursday, said that artificial intelligence and advanced computing applications alone are expected to account for about 55% of the total forecasted market, while smartphones will account for 20%, and the automotive sector 10%.
"TSMC" explained that it is expanding its production capacity at an accelerated rate during 2025 and 2026, with plans to build nine new phases of chip factories and advanced packaging facilities over the next year, as part of its efforts to meet the growing demand for advanced chips.
The company also predicted that the production capacity for its advanced 2-nanometer chips and the new generation A16 chips will grow at a compound annual growth rate of 70% between 2026 and 2028.
In the field of advanced packaging, the company pointed out that the production capacity for the CoWoS technology, widely used in artificial intelligence chips including Nvidia chips, will record a compound annual growth rate exceeding 80% between 2022 and 2027.
It added that the demand for artificial intelligence accelerator chips is expected to rise elevenfold from 2022 to 2026, reflecting the rapid global shift towards generative AI applications and advanced computing infrastructure.
On the global expansion front, "TSMC" said that its first factory in Arizona, USA, has already started production, while the second factory will begin equipment setup in the second half of 2026, with the third factory continuing construction, and preparations underway to establish a fourth factory and the first advanced packaging facility on site.
The company expects its production in Arizona to increase by 1.8 times by 2026, achieving efficiency levels similar to its factories in Taiwan, and confirmed the purchase of a large additional plot of land in the state to support future expansion plans.
In Japan, the company's first factory has started commercial production of 22 and 28-nanometer chips, while plans for the second factory have been developed to include the production of 3-nanometer technology chips in response to strong demand.
Meanwhile, in Germany, the company clarified that the new factory project is progressing on schedule, set to produce 28 and 22-nanometer technologies, and subsequently more advanced technologies including 16 and 12 nanometers.
