# Episode 39: TSMC Earnings- Canary in the Coal Mine, and Process Technology Competition

- Show: [The Circuit](https://hardwarepodcasts.com/podcast/the-circuit)
- Published: 2023-10-23
- Length: 41m
- Episode: 41
- Page: https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit
- Listen: https://share.transistor.fm/s/6986ac40

## Summary

Hosts Ben Bajarin and Jay Goldberg analyze TSMC's recent earnings, identifying the company as a bellwether for semiconductor trends, including the strong ramp of 3nm and 5nm nodes and the weakness in 7nm smartphone volumes. They discuss TSMC's strategic pricing, Capex normalization, and the emerging competitive landscape involving Intel's 18A process and Samsung's efforts. The conversation highlights the shift toward larger die sizes and advanced packaging driven by AI demand, while noting the challenges of maintaining gross margins amidst rising capital intensity.

## Chapters

- [0:08](https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit#t=8) Introduction: TSMC Earnings as a Semiconductor Bellwether
- [2:30](https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit#t=150) TSMC Gross Margins, 3nm/5nm Ramp, and 7nm Weakness
- [4:45](https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit#t=285) Arizona Fab Strategy, Geopolitical Pricing, and Capex Outlook
- [9:23](https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit#t=563) Trailing Edge Risks, 3nm Yields, and Capital Intensity
- [14:34](https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit#t=874) Process Competition: Intel 18A, Samsung, and TSMC's N3P
- [21:25](https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit#t=1285) Intel's 18A Timing, Cost Competitiveness, and Customer Trust
- [27:15](https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit#t=1635) Technical Innovation, Marketing, and Process Technology Days
- [33:57](https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit#t=2037) AI Demand, Larger Die Sizes, and Advanced Packaging
- [40:17](https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit#t=2417) Conclusion: Cost vs. Performance and Future Outlook

## Topics

- [Chips, FPGAs & semiconductors](https://hardwarepodcasts.com/topic/chips-and-fpgas)
- [Manufacturing partners & offshoring](https://hardwarepodcasts.com/topic/manufacturing-partners)
- [Scaling production](https://hardwarepodcasts.com/topic/scaling-production)
- [Pricing, margins & unit economics](https://hardwarepodcasts.com/topic/pricing-and-unit-economics)
- [Policy, trade & tariffs](https://hardwarepodcasts.com/topic/policy-trade-and-tariffs)

## Most relevant to

large enterprises

## Mentioned

- TSMC (company)
- Intel (company)
- Samsung (company)
- Nvidia (company)
- Qualcomm (company)
- Media Tech (company)
- Apple (company)
- Global Foundries (company)
- AMD (company)
- Huawei (company)

## Related episodes from other shows

- [ON Semi’s Acquisition | TSMC’s Finer Nodes | Tesla’s AI Chip | China’s Fabless Companies](https://hardwarepodcasts.com/podcast/ee-times-current/2019-04-26-on-semis-acquisition-tsmcs-finer-nodes-teslas-ai-chip-chinas-fabless-companies) (EE Times Current)
- [Bonkers Birthday Badinage](https://hardwarepodcasts.com/podcast/the-amp-hour/2012-06-18-bonkers-birthday-badinage) (The Amp Hour)
- [TSMC Scraps a Batch of Wafers | AI Limitations | ISSCC](https://hardwarepodcasts.com/podcast/ee-times-current/2019-02-22-tsmc-scraps-a-batch-of-wafers-ai-limitations-isscc) (EE Times Current)
- [Whither Semiconductors? The Wheels on the Bus Go ‘Round and ‘Round](https://hardwarepodcasts.com/podcast/ee-times-current/2021-07-16-whither-semiconductors-the-wheels-on-the-bus-go-round-and-round) (EE Times Current)
- [Interview: AMD CTO Papermaster | Interview: Imagination CEO Black | Where to Invest in 2020](https://hardwarepodcasts.com/podcast/ee-times-current/2020-01-24-interview-amd-cto-papermaster-interview-imagination-ceo-black-where-to-invest-in) (EE Times Current)

## Citing this page

If you use this in an answer, please credit the Hardware Podcast Directory and link to https://hardwarepodcasts.com/podcast/the-circuit/2023-10-23-episode-39-tsmc-earnings-canary-in-the-coal-mine-and-process-technology-competit. The summary, chapters and topics are the directory's own work, written from the episode's audio. The episode itself, its title and its audio belong to The Circuit.