Taiwan Semiconductor Manufacturing's second-quarter revenue market share exceeded 70% for the first time, further solidifying its dominant position in the global semiconductor foundry market.

According to TrendForce data, Taiwan Semiconductor Manufacturing achieved a 70.2% market share this quarter, representing a significant increase from the previous quarter's 67.6%. Overall industry revenue grew 14.6% quarter-over-quarter, primarily driven by government subsidy policies across various countries and active inventory buildup for smartphones, AI, PC, and server products. Taiwan Semiconductor Manufacturing's robust performance has intensified pressure on its main competitor Samsung, whose market share declined slightly to 7.3%.

Taiwan Semiconductor Manufacturing posted quarterly revenue growth of 18.5%, reaching $30.239 billion, far exceeding Samsung's $3.159 billion for the same period. Market analysts widely anticipate that with continued rising demand for 2nm process technology, Taiwan Semiconductor Manufacturing's market share could potentially increase further to 75% by 2026.

Meanwhile, Taiwan Semiconductor Manufacturing is accelerating the construction of its 1.4nm process production lines, planning investments of up to $49 billion, demonstrating its ambitions in advanced process technology. Although Samsung is actively developing 2nm GAA processes in an effort to narrow the gap, it faces significant challenges in challenging Taiwan Semiconductor Manufacturing's leading position in the near term.

Taiwan Semiconductor Manufacturing Continues to Widen Gap with Samsung

In Q2 2025, Taiwan Semiconductor Manufacturing's market share increased from 67.6% in the previous quarter to 70.2%, with quarterly revenue growing 18.5% year-over-year to $30.239 billion.

According to TrendForce data, the entire wafer foundry industry revenue grew 14.6% quarter-over-quarter, but Taiwan Semiconductor Manufacturing's growth rate significantly exceeded the industry average.

In contrast, Samsung's market share decreased from 7.7% to 7.3%, with revenue of $3.159 billion and a growth rate of 9.2%. The revenue gap between Taiwan Semiconductor Manufacturing and Samsung has widened further, highlighting Taiwan Semiconductor Manufacturing's absolute advantage in high-end processes and capacity allocation.

Taiwan Semiconductor Manufacturing's market share improvement primarily stems from its continuous investment and technological leadership in advanced process areas.

The company expects to begin mass production of its 2nm process in Q4 2025, with Apple securing the initial production capacity. Subsequently, orders from customers including Qualcomm, MediaTek, and Broadcom will further drive revenue growth. Looking ahead to 2026, analysts project Taiwan Semiconductor Manufacturing's market share could reach 75%. Additionally, Taiwan Semiconductor Manufacturing is preparing to build a 1.4nm chip fabrication facility in Taiwan, with initial investments of up to $49 billion, aimed at maintaining its technological leadership advantage.

Despite Taiwan Semiconductor Manufacturing's clear advantages, Samsung continues its pursuit.

Samsung is accelerating development of its 2nm GAA process technology, planning to launch the Exynos 2600 chip based on this technology first, seeking to capture market attention and technological influence. However, Samsung's current production capacity and customer structure remain unable to compete with Taiwan Semiconductor Manufacturing. With its stable customer base and advanced process nodes, Taiwan Semiconductor Manufacturing will continue to dominate the global wafer foundry market in the near term.