TSMC has long had its highest revenues from orders for chips for smartphones. After years, the HPC (High Performance Computing) market segment surpassed the smartphone segment for the first time.
HPC’s 41% contribution to the company’s revenue surpassed 40% of the smartphone segment. The Taiwanese giant’s HPC earnings have paddled recently, with revenues increasing by 26%.
The company’s HPC chip orders generated ~$6.8 billion in revenue in the first quarter of 2022. In the last quarter of last year, this amount was at the level of 4.3 billion dollars and there was a significant increase. Taking the stagnant smartphone market into account, TSMC is starting to focus on HPC as the main force behind its 2022 growth targets. The importance of artificial intelligence, data center and super computing markets continues to increase day by day.
TSMC’s industry-leading manufacturing processes, and particularly advanced packedollarseme capabilities, form the basis of HPC revenues. The company’s 3D SoIC (system on integrated chips) packagedollarseme technology is attracting great attention from customers.
Interestingly, TSMC’s first quarter automotive revenue also increased by 26% compared to the previous quarter. The reason behind the increase in demand from the automotive market can be attributed to the increasing modernization for the electric vehicle fleet and the increasing chip requirements in these vehicles.