TSMC Confirm Chip Shortage Will Last Until 2023

The CEO of the world’s largest chip foundry, Taiwan Semiconductor Manufacturing Co., has echoed recent claims from Intel’s CEO that the worldwide chip shortage will last into 2023.

TSMC CEO C.C. Wei told Bloomberg they are running their factories at “over 100 per cent utilisation”, and despite planning to spend AUS$38 billion on upgrade in 2021, the shortage will continue for the foreseeable future.

“We see the demand continue to be high,” Wei said. “In 2023, I hope we can offer more capacity to support our customers. At that time, we’ll start to see the supply chain tightness release a little bit.”

TSMC’s shortage has been a blow for the many companies it supplies chips for, including Apple, Nvidia, Broadcom, and Qualcomm.

This week, Intel’s CEO Pat Gelsinger told The Washington Post it will take “a couple of years” before it is be back to capacity.

“I think this is a couple of years until you are totally able to address it,” he said. “It just takes a couple of years to build capacity.”