Taiwanese semiconductor manufacturer TSMC has reported a record-breaking surge in shares this week, briefly making becoming the 10th most valuable company in the world. A 9.9% increase in its shares increased the firm’s valuation beyond $410 billion and it surpassed notable giants such as Visa, Johnson & Johnson, etc.
TSMC is the world’s largest contract manufacturer and is also one of the most important companies for Taiwan as it has a significant influence over the country’s economy. The company has broken a three-decade-old record with its surge in shares which was a total increase of $72 billion.
TSMC is starting to attract foreign investments which are resulting in an increase in demand for the local currency. As a result, the Taiwanese Dollar increased in value by 1% today, which is the strongest it has ever been since 2018.
One of the reasons behind the company’s record-breaking rise in shares is due to Intel’s recent announcement. The American chipmaker announced that it’s behind schedule for 7nm chipset production and it could outsource the task to TSMC as it is the leader in the silicon fabrication business.
Intel and AMD are currently fighting over TSMC’s 7nm capacity. Intel could license the 6nm variant for TSMC’s 7nm technology whereas AMD might become the Taiwanese firm’s biggest customer for the 7nm node. Apple, on the other hand, is advancing to 5nm.
TSMC is not the only company that has reported a surge in shares. Samsung and China-based SMIC’s shares recently increased by 5.8% and 6.6% respectively.