Taiwan Semiconductor Manufacturing Company (TSMC), which is the world’s largest contract manufacturer, has witnessed a record-breaking rise in its shares with a boost of $72 billion this week.
As per the report, for a brief time, the company had become the world’s 10th most valuable corporation before paring gains, thanks to a record 9.9 percent rise. With the company’s valuation going beyond $410 billion this week, it surpassed some of the giants, such as Johnson & Johnson and Visa, among others.
TSMC is one of the most important companies for Taiwan as it maintains much influence on the Taiwanese financial markets. The company itself has pushed the Taiex past a three-decade-old record.
The company is also attracting foreign investments which have led to increasing demand for the local currency. As a result, the Taiwan Dollar reportedly rose 1 percent today (28th July 2020), which is the strongest since April 2018.
EDITOR’S PICK: Vivo-backed iQOO to showcase its flagship smartphone with 120W charging support at ChinaJoy
One of the reasons behind the boost for TSMC is the recent announcement from Intel in which the company warned that it is behind schedule to manufacture 7nm chipsets and could outsource production.
Intel is expected to outsource its production to TSMC as the company is a leader in the silicon fabrication business. But it is not only TSMC which has witnessed a surge in shares. Samsung Electronics and China-based SMIC‘s shares also climbed 5.8 percent and 6.6 percent, respectively.
As per the report, Intel and AMD are fighting over TSMC’s 7nm capacity. Intel is set to license the 6nm variant of TSMC’s 7nm technology while AMD could become TSMC’s largest customer next year on the 7nm node, as Apple is moving to 5nm.
UP NEXT: Samsung Electro-Mechanics gets iPhone camera contract as Apple looks to diversify supply chain
