Taiwan Semiconductor Manufacturing Co., the world’s largest contract producer of chips, projects that sales will rise at a percentage in the teens this year, Chief Executive Officer Morris Chang said.
Revenue at so-called fabless chipmakers, or chip-design companies that hire TSMC and its rivals to manufacture their products, will expand about 9 percent, while the semiconductor market as a whole will grow at about 4 percent, Chang said at an event today in San Jose, California.
“Last year was not a very good one,” said Chang, referring to industrywide sales, which he said shrank 2 percent to 3 percent in 2012. “This year we think will be better.”
TSMC’s revenue increased 19 percent in 2012. The Hsinchu, Taiwan-based company is outperforming the majority of the chip industry as its plants churn out semiconductors for companies such as Qualcomm Inc. (QCOM:US) and Broadcom Corp. (BRCM:US), which supply the key components of smartphones and tablets.
In January, TSMC said first-quarter revenue would be NT$127 billion ($4.23 billion) to NT$129 billion. That compares with the NT$124 billion average analyst estimate compiled by Bloomberg at the time.
TSMC’s fourth-quarter profit jumped 32 percent as demand for mobile devices from Apple Inc. and Samsung Electronics Co. spurred semiconductor sales.
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