Taiwan Semiconductor Manufacturing Company's profits surged 77 per cent in the second quarter, making it the world's leading supplier of chips to Nvidia and Apple. Net income of NT$706.5bn (US$22bn) beat analysts' estimates of NT$630bn, while net sales rose 36 per cent to NT$1.27tn.

The AI boom is reshaping the semiconductor supply chain: high‑performance computing—Nvidia’s AI data‑centre chips—contributed 66 per cent of revenue, while smartphone chips fell to 22 per cent from their previous dominance.

These strong figures arrived a day after ASML Holding NV, a key supplier of TSMC's equipment, lifted its year‑ahead forecast as chipmakers and customers rush to meet AI demand.