TSMC's sales growth rate in October significantly slowed compared to September, marking the lowest growth rate since February this year, and its sales growth rate for the year to date has also slightly declined.
On Friday, November 8, TSMC announced its sales figures for October. The sales amount in October was NT$314.24 billion, a year-on-year increase of 29.2% and a month-on-month increase of 24.8%. In September, TSMC's sales grew nearly 40% year-on-year. Prior to this, from March to September, the company's monthly sales growth rate exceeded 30%.
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So far this year, TSMC's total sales amount to NT$2.34 trillion, a 31.5% increase compared to the same period last year, which is slightly lower than the 31.9% increase during the period from January to September. Analysts expect that the sales of this chip manufacturer will grow by 36.1% over the three months ending in December.
A Bloomberg article pointed out that TSMC's sales data for October raises alarms about the durability of demand for AI chips.
After the revenue data was released, TSMC's U.S. stock surged over 3% in after-hours trading.
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In the third quarter of this year, TSMC's performance was impressive, showing that AI demand remains strong. However, the company warned at that time that chip demand from other industries is weakening, especially in personal computers, smartphones, and consumer electronics, with almost no signs of improvement.
Earlier today, TSMC stated in an email that &#34;our investment plans in the United States remain unchanged.&#34;
TSMC is the world's largest foundry manufacturer and a major supplier to companies like Apple and NVIDIA, currently investing $65 billion to establish a new factory in Arizona, USA.
As investor sentiment heats up regarding the true commercial potential of AI and concerns about increasing production, market attention to TSMC's monthly sales figures is growing. So far this year, TSMC's stock price has risen over 80%

In October, Taiwan Semiconductor's sales reached NT$ 314.24 billion, a year-on-year increase of 29.2%, significantly slowing from nearly 40% growth in September. Media articles pointed out that the sales data for October raised alarms about the sustainability of demand for artificial intelligence chips

- TSMC's sales growth in October significantly slowed compared to September, marking the lowest increase since February, with a year-on-year growth of 29.2%.  
- The company's total sales for the year reached NT$ 2.34 trillion, a 31.5% increase from last year, slightly down from the 31.9% growth seen from January to September.  
- Analysts express concern over the sustainability of AI chip demand, as TSMC warns of weakening demand in other sectors like PCs and smartphones, despite a strong performance in Q3.

AI chip demand slows? Taiwan Semiconductor's October sales increased by 29.2% year-on-year, the lowest growth rate since February