Taiwan Semiconductor Manufacturing Co. (TSMC) reported a 36% revenue increase for January, totaling NT$293.3 billion (US$8.9 billion).

This marks a slowdown from the 38.8% growth seen in October to December 2024 period.

The reduced growth rate comes as TSMC, a major supplier for Nvidia and Apple, faces uncertainty in the semiconductor market.

Industry analysts had anticipated a 41% sales increase for the first quarter, but AI spending fluctuations have created volatility.

Concerns grew in late January when Chinese startup DeepSeek introduced lower-priced AI models, raising competition worries.

Despite this, major tech companies like Microsoft, Alphabet, and Meta continue investing heavily in AI, with Amazon planning US$100 billion in AI initiatives this year.

Earlier, TSMC has set capital expenditures of US$42 billion in 2025, supported by demand forecasts and ASML Holding’s outlook. ASML is one of TSMC’s key equipment suppliers.

Meanwhile, geopolitical uncertainty looms as US President Donald Trump suggests tariffs on semiconductor imports.

Recent TSMC developments