Contract chipmaker TSMC said on Thursday it plans to invest $100 billion over the next three years to increase capacity at its plants, days after Intel Corp announced a $20 billion plan to expand its advanced chip making capacity, reported Reuters.
Taiwan Semiconductor Manufacturing Co, whose customers include Apple and Qualcomm, had already flagged a plan to spend of between $25 billion-$28 billion this year, to develop and produce advanced chips.
The move comes as global companies reel from a shortage of semiconductor chips that initially forced auto companies to cut production, but is now hurting makers of smartphones, laptops and even appliances amid a pandemic-fuelled rise in demand.
“We are entering a period of higher growth as the multiyear megatrends of 5G and high-performance computing are expected to fuel strong demand for our semiconductor technologies in the next several years,” TSMC said in a statement to Reuters.