TSMC expects its 3-nanometer (3nm) node to overtake the 5nm process as its primary revenue source by the second half of 2026. Surging demand from artificial intelligence (AI) and high-performance computing (HPC) sectors drives this transition. Major clients like NVIDIA are significantly increasing orders for new platforms.
Analysts forecast 3nm quarterly output value will exceed NT$400 billion by the third quarter. This volume represents more than 30% of the company's total revenue.
The shift toward more profitable 3nm chips will likely improve TSMC's overall gross margin. The company is accelerating 3nm capacity expansion to meet sustained demand from AI chipmakers.