TSMC was founded in 1987 by Morris Chang.
Taiwan Semiconductor Manufacturing Company was established in Hsinchu, Taiwan, with support from the government of Taiwan and the private-sector group Philips. Chang developed the company around a specialized foundry model: TSMC would manufacture chips designed by other companies rather than primarily selling chips under its own brand.
That model helped create the modern fabless semiconductor industry. Companies could design processors and other chips while outsourcing fabrication to a specialist with expensive manufacturing plants. TSMC became a major producer for customers in smartphones, personal computers, data centers, and other electronics.
Morris Chang had previously worked at Texas Instruments and General Instrument. TSMC is sometimes described as a chip designer, but its defining business is semiconductor manufacturing for customers. Its clients have included many major technology companies, while the company itself operates fabrication facilities in Taiwan and other locations.