TSMC(US:TSM) Zheng Quan Shi Bao Wang·2025-06-25 11:41Core Insights - The global semiconductor foundry 2.0 market is projected to grow by 12.5% year-on-year to reach $72.29 billion in Q1 2025, driven by surging demand for AI and high-performance computing chips [1] - The definition of foundry 2.0, introduced by TSMC, encompasses not only traditional wafer manufacturing but also packaging, testing, and photomask production, expanding the market size to nearly $250 billion in 2023 from $115 billion under the old definition [1] Company Performance - TSMC holds a dominant market share of 35.3%, with a year-on-year growth of approximately 30%, attributed to its strong position in advanced processes and substantial AI chip orders [2] - Intel ranks second with a 6.5% market share, while ASE and Samsung follow with 6.2% and 5.9% shares, respectively [2] - The traditional foundry market revenue increased by 26%, while the non-memory IDM market saw a 3% decline due to weak demand in automotive and industrial applications [2] Industry Trends - AI is identified as the core driver of growth in the semiconductor industry, reshaping the priorities within the foundry supply chain and reinforcing TSMC's and advanced packaging suppliers' critical roles [3] - The foundry industry is transitioning from a traditional linear manufacturing model to a highly integrated value chain system, with expectations of new waves of semiconductor technology innovation driven by AI applications and Chiplet integration [3] - The broader foundry 2.0 market is anticipated to reach $298 billion by 2025, marking an 11% growth from 2024, with a compound annual growth rate (CAGR) of 10% projected from 2024 to 2029 [3]