Prediction: Taiwan Semiconductor Will Be Worth More Than Apple by 2030

Core Viewpoint - Taiwan Semiconductor Manufacturing Company (TSMC) has the potential to surpass Apple in market capitalization by 2030, driven by its involvement in the rapidly growing AI sector [1][2]. Company Analysis - Apple is currently the second-largest company globally with a market cap of $4 trillion, while TSMC stands at $1.4 trillion [1]. - Apple has struggled with market saturation and has only achieved one quarter of double-digit revenue growth since mid-2022 [4]. - Despite share repurchases and expense reductions, Apple's long-term earnings per share (EPS) growth rate is projected at 12% [5]. Industry Dynamics - TSMC is positioned at the forefront of the AI race, supplying chips for high-powered AI computing devices, including Nvidia GPUs and custom AI accelerators from Broadcom [6]. - TSMC is launching new chip technology that can improve energy consumption by 25% to 30% while maintaining speed, allowing for premium pricing [6]. - The AI sector is expected to continue its rapid growth, with AMD projecting a 60% compound annual growth rate (CAGR) for its data center division through 2030 [7]. - Global data center capital expenditures are anticipated to rise from $600 billion in 2025 to between $3 trillion and $4 trillion by 2030, indicating a 42% CAGR at the midpoint, which aligns with TSMC's growth potential [7].