Taiwan Semiconductor Manufacturing Company was founded in 1987, establishing the dedicated semiconductor foundry model that reshaped chip production.
Morris Chang founded TSMC in Hsinchu, Taiwan, with support from the Taiwanese government and Philips. The company’s central idea was to manufacture chips designed by other companies rather than compete with customers by selling its own branded processors.
This model allowed “fabless” companies to concentrate on chip design while outsourcing physical production. TSMC later became a critical supplier for advanced processors used in smartphones, computers, vehicles, and artificial-intelligence systems.
TSMC is sometimes confused with chip designers such as Nvidia or Qualcomm. Those companies primarily design semiconductors, whereas TSMC is best known for manufacturing chips for many customers. Its market importance reflects that role in the global technology supply chain.