TSMC says AI chip constraints to last through 2025

TAIPEI -- Taiwan Semiconductor Manufacturing Co. confirmed on Thursday that it is looking into a radically new type of chip packaging technology for artificial intelligence, but warned that AI chip output will remain constrained until 2025, longer than previously expected.

TSMC said that its capital spending for 2024 will be between $30 billion and $32 billion, the upper end of its forecast, to boost advanced chip production and advanced packaging capacity, a sign of the chipmaker's confidence that demand will remain strong.