Sources say TSMC will cut capital spending this year to less than $30 billion

IT House news on October 17, according to the "Economic Daily" report, TSMC by Intel's 3nm process outsourcing delay, the US new factory 4nm process mass production delay and many other factors, the company's capital this year pointed out to fall below $30 billion, if the news is true, it will hit the lowest point in nearly three years.

Market researchers believe that even if TSMC lowers its capital expenditure this year, it will increase research and development expenses and continue to promote the research and development of advanced processes.

MPC rapidly expanded capital expenditure, reaching an all-time high of $36.3 billion last year. In the first half of the year, actual capital expenditures were $18.11 billion, including $8.17 billion in the second quarter, down slightly from $9.94 billion in the first quarter.

TSMC said at its earnings conference in July that capital spending this year will remain between $32 billion and $36 billion (IT House Note: currently about 233.92 billion yuan to 263.16 billion yuan), considering market dynamics, the actual spending for the whole year is expected to be close to the lower limit of the range.

The latest report shows that due to delays in Intel's 3nm outsourcing and delays in the US fab's 4nm production schedule, about $4 billion originally intended for this year's capital expenditure may be postponed to next year, resulting in a reduction in capital expenditure, which is less than $30 billion this year (currently about 219.3 billion yuan). As for next year's capital expenditures, they are likely to be the same as this year.