Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest contract chipmaker, reported strong earnings driven by robust demand for artificial intelligence (AI) chips. The company’s revenue surged 43.5% year-over-year, exceeding expectations. TSMC attributed the growth to increased orders for advanced chips used in AI applications, data centers, and high-performance computing. The company plans to invest $40 billion in capacity expansion to meet the rising demand for AI chips. TSMC’s CEO, C.C. Wei, stated that the company is “working closely with customers to prioritize production for AI chips.” The surge in AI chip demand is fueled by the rapid adoption of generative AI models like ChatGPT. TSMC’s earnings highlight the pivotal role it plays in the global semiconductor supply chain and its strategic importance in the AI chip market.