TSMC plans up to 10% chip price hike starting 2027

TSMC, the world’s largest contract chip manufacturer, is negotiating a price increase of 5‑10% for its wafers that will take effect in January 2027. The adjustments will hit mature process nodes such as 12 nm, 16 nm and 28 nm most heavily, while advanced sub‑6 nm technologies could also see similar hikes depending on customer volume and product mix.

The increase is aimed at offsetting higher material, equipment and new‑fab construction costs amid sustained demand for AI‑related chips. Major customers—including Nvidia, Apple, Alphabet and Amazon—may see the added cost passed on to end‑users, potentially raising prices for smartphones, GPUs and other consumer electronics. A TSMC spokesperson said the pricing approach is “strategic, not opportunistic,” and the company’s shares rose about 4% in pre‑market trading after the news emerged.