TSMC is the world’s largest dedicated contract chipmaker by revenue.
Taiwan Semiconductor Manufacturing Company, usually called TSMC, specializes in manufacturing chips designed by other companies. This business model is known as a pure-play foundry model. Customers supply chip designs, while TSMC produces them in advanced fabrication plants.
TSMC was founded in 1987 by Morris Chang in Hsinchu, Taiwan. Its rise helped create a global division of labor in semiconductors: some companies focus on architecture and design, while specialized foundries handle mass production. Many leading processors for smartphones, computers, and artificial-intelligence systems are manufactured by TSMC.
TSMC is often discussed alongside the world’s largest companies by market capitalization because investors value its strategic role in advanced chips. It is not the same kind of business as a fabless designer such as Nvidia, which designs processors but relies on manufacturing partners. TSMC’s importance also makes Taiwan central to discussions about semiconductor supply chains.