Taiwan Semiconductor Manufacturing Co. strengthened its grip on the global foundry industry in the first quarter, capturing 67.6% market share as revenue across the sector defied seasonal weakness. TSMC posted $25.52 billion in sales in the January-to-March period, down 5 percent from the previous quarter, but its market share rose from 67.1 percent the previous quarter to 67.6 percent, according to TrendForce’s latest industry ranking.
The Taiwanese chipmaker’s dominance comes as Chinese competitors steadily gain ground. SMIC’s revenue increased 1.7% QoQ to $2.2 billion, securing a 5.5% market share and the third position, while the broader group of mainland Chinese foundries now commands 9.7% of the global market.
The global foundry industry exhibited a polarized trend in 4Q24. Advanced process nodes benefited from strong demand in AI servers, flagship smartphone application processors (APs), and new PC platforms, with this momentum carrying into Q1. Industry revenues fell just 5.4% quarter-over-quarter to $36.4 billion, significantly better than typical seasonal declines.
Samsung Foundry lagged behind, with revenue dropping 11.3% to $2.89 billion and market share slipping to 7.7%. While smartphone-related wafer shipments declined in the first quarter due to seasonal factors, solid demand for artificial intelligence (AI) and high-performance computing (HPC) devices and urgent TV-related orders due to US tariff measures helped limit TSMC’s revenue decline.
The resilience reflects companies stockpiling inventory ahead of potential trade restrictions and Chinese government subsidies spurring consumer electronics demand.
