Group 1 - TSMC shares increased by 6.9%, reaching a record high, driven by optimism in AI demand and a price target increase from Goldman Sachs by 35% to NT$2,330 [1][2] - The company is seen as a multi-year growth engine for AI, with improving profit margins and plans to invest $150 billion over the next three years to expand capacity [3] - TSMC's market value surpassed $1 trillion for the first time, reflecting heightened investor confidence in its pivotal role in the AI boom [5] Group 2 - TSMC led a surge in Asian tech stocks as investors continue to invest in the AI theme, despite concerns about market overheating [2] - Other chip manufacturers, such as Samsung Electronics, are also experiencing gains, with expectations of preliminary results that may validate the sector's performance [4] - Analysts emphasize the importance of TSMC's capacity in leading-edge semiconductors, while advising investors to focus on quality amid bubble concerns [6]

Core Viewpoint - Intel has experienced a significant upward trend in its stock price following reports that Apple may become a foundry customer by early 2027, indicating a potential strategic partnership that could enhance Intel's market position and revenue streams [1] Group 1 - Intel's stock has been on a sharp uptrend in recent sessions, reflecting positive market sentiment [1] - The potential partnership with Apple is symbolically important for Intel, suggesting a shift in its business strategy towards foundry services [1]

Financial Performance (3Q25) - Operating Revenues reached NT$59,127 million[7], a 0.6% increase QoQ[8] - Net Income Attributable to Shareholders of the Parent was NT$14,982 million[7], with EPS (NTD) at 1.20[7], a 68.3% increase QoQ[8] - Gross Profit was NT$17,623 million[8], representing a gross margin of 29.8%[8], a 4.4% increase QoQ[8] - Net Income was NT$14,944 million[8], a 68.9% increase QoQ[8] Financial Performance (Year-to-Date) - Operating Revenues for Jan-Sep 2025 were NT$175,744 million[10], a 2.2% increase YoY[10] - Net Income Attributable to Shareholders of the Parent was NT$31,661 million[10], an 18.2% decrease YoY[10] - Gross Profit was NT$49,948 million[10], representing a gross margin of 28.4%[10], a 12.8% decrease YoY[10] - Net Income was NT$31,535 million[10], an 18.4% decrease YoY[10] Foundry Segment - Wafer Shipments were 1,000 thousand (12" wafer eq)[7] - Utilization rate was 78%[7] - Capital Expenditure plan for 2025 is $1.8 billion USD, with 90% allocated to 12" and 10% to 8"[26]

Core Viewpoint - Intel and AMD are in early discussions for AMD to utilize Intel's foundry services, which could signify a strategic shift for Intel in rebuilding its reputation in chip manufacturing [2]. Group 1: Intel's Position - Intel is attempting to regain credibility in chip manufacturing through partnerships and endorsements, including potential investments from major players like Nvidia, Apple, and TSMC [2][3]. - Despite these efforts, Intel's foundries currently lack the advanced technology that TSMC offers, which may limit the scope of AMD's production shift to less advanced manufacturing [3]. Group 2: AMD's Potential Role - The potential partnership could lead to AMD becoming either a customer or an investor in Intel's foundry services, which has positively impacted AMD's stock, resulting in a 6% increase [4]. - This collaboration is seen as a step towards establishing a viable domestic alternative for chip manufacturing amid the U.S. political focus on chip independence [5]. Group 3: Market Implications - The discussions between Intel and AMD reflect broader trends in the semiconductor industry, where companies are seeking to adapt to changing market dynamics and political pressures regarding domestic production [5].

Financial Performance - Operating Revenues for 2Q25 reached NT$58758 million, a 1.6% increase compared to 1Q25[8] - Net Income Attributable to Shareholders of the Parent was NT$8903 million in 2Q25, up 14.5% from NT$7777 million in 1Q25[8] - EPS (NTD) was 0.71 in 2Q25, compared to 0.62 in 1Q25[8] - For the first six months of 2025, Operating Revenues totaled NT$116617 million, a 4.7% increase year-over-year[10] - Net Income Attributable to Shareholders of the Parent for the first six months of 2025 was NT$16679 million, a 31.2% decrease year-over-year[10] - EPS (NTD) for the first six months of 2025 was 1.34, compared to 1.95 for the same period in 2024[10] Foundry Segment - Wafer Shipments in 2Q25 were 967 thousand (12" wafer equivalent), compared to 910 thousand in 1Q25[7] - Utilization rate in 2Q25 was 76%, compared to 69% in 1Q25[7] - In 2Q25, Asia accounted for 67% of Foundry Segment Sales by Geography[17] - Fabless customers accounted for 81% of Foundry Segment Sales by Customer Type in 2Q25[19] - Communication applications accounted for 40% of Foundry Segment Sales by Application in 2Q25[21] - Technology ≤ 40nm accounted for 53% of Foundry Segment Sales by Technology in 2Q25[23] Capacity and Expenditure - Total capacity in 2Q25 was 1290 thousand (12" equivalent)[24] - The 2025 Foundry Capital Expenditure Plan is $1.8 billion USD, with 90% allocated to 12" and 10% to 8"[25]

Financial Performance - Operating Revenues for 1Q25 were NT$57,859 million, a decrease of 4.2% QoQ from NT$60,386 million in 4Q24 [7, 8] - Net Income Attributable to Shareholders of the Parent for 1Q25 was NT$7,777 million, a decrease of 8.5% QoQ from NT$8,497 million in 4Q24 [7, 8] - EPS (NTD) for 1Q25 was 0.62, compared to 0.68 in 4Q24 [7, 8] - Operating Revenues increased by 5.9% YoY from NT$54,632 million in 1Q24 to NT$57,859 million in 1Q25 [7, 10] - Net Income Attributable to Shareholders of the Parent decreased by 25.6% YoY from NT$10,456 million in 1Q24 to NT$7,777 million in 1Q25 [7, 10] - EPS (NTD) decreased from 0.84 in 1Q24 to 0.62 in 1Q25 [7, 10] Foundry Segment - Wafer Shipments for 1Q25 were 910 thousand (12" wafer eq), compared to 909 thousand in 4Q24 [7] - Utilization rate for 1Q25 was 69%, compared to 70% in 4Q24 [7] - In 1Q25, 66% of Foundry Segment Sales came from Asia [17] - In 1Q25, 82% of Foundry Segment Sales came from Fabless customers [19] - In 1Q25, 39% of Foundry Segment Sales came from Communication applications [21] - In 1Q25, 50% of Foundry Segment Sales came from ≤ 40nm technology [23] Capacity and Expenditure - Total capacity for 1Q25 was 1,264 thousand (12" eq), compared to 1,280 thousand in 4Q24 [25] - The 2025 Foundry Capital Expenditure Plan is USD 1.8 billion, with 90% allocated to 12" and 10% to 8" [26]