TSMC Cuts Chip Market Outlook as Consumer Weakness Persists

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TSMC’s forecast follows the company’s first quarterly profit rise in a year and predictions June quarter revenue as high as $20.4 billion. Photo: Bloomberg

(Bloomberg) — Taiwan Semiconductor Manufacturing Co. Ltd. scaled back its outlook for a chip market expansion, cautioning that the smartphone and personal-computing markets remain weak.

The world’s largest maker of advanced chips cut its expectations for 2024 semiconductor market growth — excluding memory chips — to about 10%, from above that figure. Chief Executive Officer C. C. Wei also trimmed his growth forecast for the foundry sector, which TSMC leads. Meanwhile, the company maintained its estimates for spending at anywhere between $28 billion and $32 billion amid capacity expansion and upgrades this year.