TSMC Likely To Receive ASML Chipmaking Machine This Year, Stocks Jump

Core Insights - Taiwan Semiconductor Manufacturing Company (TSMC) and ASML Holding experienced significant stock price increases following reports of optimism regarding TSMC's acquisition of advanced chipmaking machinery from ASML this year [1][4] Group 1: TSMC and ASML Developments - ASML's lithography technology, specifically the EXE:5000 system utilizing High NA EUV technology, is crucial for mass-producing semiconductor chips, enabling reduced process complexity in high-volume manufacturing [2][3] - ASML CFO Roger Dassen expressed optimism that commercial discussions with TSMC are nearing conclusion, indicating a positive outlook for future collaborations [3] - TSMC is actively involved in the High NA EUV lithography lab in the Netherlands, where it can access a prototype of the machine while awaiting its own systems [3] Group 2: Financial Outlook and Market Impact - ASML anticipates that its 2025 revenue will be in the upper half of its guidance, with strong demand expected to continue into 2026, bolstered by government-funded semiconductor fabs [4] - The Biden administration's CHIPS and Science Act is expected to benefit ASML, as it has already allocated billions to major players in the semiconductor industry, including TSMC [4] - ASML's stock rose by 8.9% to $1,034.96, while TSMC's shares increased by 6.4% to $162.26, with year-to-date gains of approximately 36% for ASML and 55% for TSMC [4]