This may have something to do with two pieces of good news.
First, it may cooperate with Intel.
In response, financial services firm Cowen analyst Matt Ramsay believes Intel may plan to commission TSMC to contract chips for it.
Second, TSMC has made a major breakthrough in the research and development of 2nm.
It has been reported that TSMC has made a major breakthrough in the research and development of 2nm. The industry estimates that TSMC will launch its 2nm in 2023-2024.
Previously, TSMC disclosed at the companys second quarter performance presentation meeting that the companys 3nm (nano) process is expected to be mass produced in 2021, and mass production in the second half of 2022. Compared with 5nm process, 3nm process will bring 70% density increase, 10% - 15% rate gain and 20-25% power increase.
Huawei has just announced cut off supply
In response to Intels possible cooperation, TSMC just announced on July 16 that it would cut off Huaweis power supply from September 14, if the U.S. ban remains unchanged.
In 2019, orders from Huawei account for 14% of TSMCs total business, and it is one of TSMCs most important high-end chip customers (below 14nm).
However, the new restrictions on Huawei announced by the U.S. Department of Commerce on May 15 this year will come into effect on September 15. At that time, all non-U.S. chip manufacturers will no longer be able to provide Huawei with products using U.S. technology and equipment without obtaining a license from the U.S. government. Huawei and its subsidiaries, including chip company Hisilicon, were involved in the suspension.
This makes TSMC in the middle of the dilemma. At the performance Conference on July 16, TSMC announced that if the US ban remains unchanged, TSMC will no longer supply chips to Huawei after September 14, 2020.
At the same time, it also has a great impact on Huawei. In terms of market analysis, how long can Huaweis inventory last after losing TSMC? Relevant people predict that with the large-scale shipment of 5g related equipment, Huaweis chip inventory may only be maintained until the beginning of 2021.
Mastering the core technology of chip manufacturing
Half of the global chip OEM market
TSMC, fully known as Taiwan integrated circuit manufacturing group, is the worlds leading semiconductor processing enterprise.
At present, in the global chip manufacturing industry, there are few manufacturers with high-end chip manufacturing capacity, especially those with manufacturing processes below 7Nm. There are only TSMC and Samsung in the world.
According to panorama, the revenue chart by process disclosed by TSMC shows that the revenue from high-end chips below 28nm (28, 16, 7) accounts for nearly 80% of TSMCs total revenue.
TSMC has higher yield and more stable production cycle. Therefore, TSMC enjoys almost all orders in the 7Nm process field, and has high pricing power. At the same time, TSMC revealed that the current demand for 5nm process is very strong, and this demand will continue until 2022.
Stock prices soared by more than 50% in half a year
TSMC, which has mastered the core technology, delivered a brilliant performance in the epidemic: according to TSMCs financial report for the second quarter of fiscal year 2020 as of June 30, TSMCs consolidated revenue in the second quarter was 310.699 billion yuan (New Taiwan dollars, the same below) (about 10.540 billion US dollars), an increase of 28.9% compared with 240.999 billion yuan in the same period of last year; the net profit was 120.822 billion yuan (about 4.099 billion US dollars, 28 billion people) Compared with 66.765 billion yuan in the same period of last year, it increased by 81.0%, not only exceeding analysts expectations, but also reaching the highest single quarter growth rate in six years.
Among them, TSMCs gross profit rate in the second quarter of 2020 is as high as 53%, reaching a record high.
Due to its excellent performance in the second quarter, TSMC adjusted its income growth forecast for the whole year of 2020 from 10% - 15% to 20%; at the same time, it increased the amount of capital expenditure to $16 billion-17 billion; as early as early as the beginning of 2020, it had predicted that the great depression was coming, and TSMC lowered its income forecast for 2020.
In the past half a year, the stock price of TSMC has soared.
Source: Guo Chenqi, editor in charge of China fund daily_ NBJ9931