TSMC was founded in Taiwan in 1987 and became the world’s largest dedicated contract chipmaker.
The Taiwan Semiconductor Manufacturing Company pioneered the dedicated foundry model. Rather than designing and selling its own branded processors as its main business, TSMC manufactures chips designed by other companies. This allows customers to compete in chip design without building and operating their own leading-edge factories.
TSMC produces semiconductors for smartphones, computers, data centers, automobiles, and artificial-intelligence systems. Its advanced manufacturing processes made it strategically important to many of the world’s largest technology companies.
TSMC is often discussed alongside Nvidia, Apple, and Intel, but their roles differ. Nvidia primarily designs chips, Apple designs many of its own processors, Intel both designs and manufactures chips, and TSMC specializes in contract manufacturing. Those distinctions matter when comparing market-cap rankings.