• 2 min read
TSMC hits $40B revenue as higher AI spending spooks investors
TSMC reported record Q2 revenue above $40 billion, but its stock fell 4% after raising its 2026 capex forecast to $60–64 billion.
Image: TNW
TSMC posted record second-quarter revenue of more than $40 billion, up 36% year over year, while net income jumped 77%. But instead of rallying, the chipmaker’s shares fell 4% on Thursday, helping push the Nasdaq 100 down 1.4% and adding to losses from the previous day.
The issue was not the earnings report. It was spending. TSMC raised its 2026 capital expenditure forecast to $60–64 billion, up from $52–56 billion, a move that appeared to unsettle investors already questioning how long massive AI infrastructure spending can continue without clearer returns.
That marks a shift in market mood. According to the source, the industry has spent nearly $1.6 trillion on AI development over the past decade without producing returns on a scale that fully justifies current valuations. The semiconductor index has also fallen nearly 19% from its all-time highs.
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TSMC matters because it sits at the center of the AI supply chain, manufacturing chips for Nvidia, Apple, and many of the companies powering the current boom. When even a record quarter triggers a selloff, the message from investors is straightforward: strong revenue growth alone is no longer enough.
The source says that skepticism lines up with recent warnings from the BIS, Man Group, and Goldman Sachs. For now, TSMC may keep posting record revenue as long as AI spending holds up. The harder question is whether the companies buying its chips can generate enough return to justify the broader trillion-dollar buildout.
Enterprise Editor
Marcus follows the money. He covers enterprise software, cloud architecture, and the tectonic shifts in Big Tech strategy. He translates dense earnings calls and complex M&A activity into actionable insights about where the industry is actually heading. If a tech giant makes a silent pivot, Marcus is usually the first to notice.
via TNW
