TSMC Accounts for More Than 70% of the Semiconductor Foundry Market by Q2-2025
New data for the second quarter of 2025 extend TSMC's commanding lead in the semiconductor foundry market, with the company now accounting for over 70 percent of the industry's revenue. This new growth came, not alone, through an industry revenue increase of 14.6 percent, with factors such as national subsidies and high demand found for AI, server, PC, and smartphone components.
A Tale of Two Foundries By the Numbers in Q2 2025
As per TrendForce, during this year's second quarter, TSMC extended its gap with the immediate competitor, Samsung. While one of the companies bagged very significant gains, the other was slightly down as far as a dip in market position is concerned.
TSMC's Performance
- Market share grew to 70.2%, up from 67.6% in the previous quarter.
- Quarterly revenue increased by 18.5% to reach an estimated $30.239 billion.
Samsung's Position
- Market share decreased slightly to 7.3%, down from 7.7%.
- Quarterly revenue grew by 9.2% to an estimated $3.159 billion.
TSMC's Roadmap Going Towards 2 nm and 1.4 nm
Projected market domination for TSMC is over 75 percent in 2026, driven by demand for its 2nm technology, which is expected to go into mass production in about the fourth quarter of 2025. Apple will be first in line to receive these advanced wafers with other major clients, such as Qualcomm, MediaTek, and Broadcom, expected to follow soon after.
Looking even further down the line, it has been reported that TSMC would be making a major $49 billion investment in building a new plant in Taiwan for 1.4nm mass production. This proposal is clear evidence of its ambition to keep abreast with technology leadership.
Samsung's Comeback Strategy
However, Samsung is not resting on its heroics but is preparing for its own 2nm Gate-All-Around (GAA) process. To improve the odds further, Samsung is looking to introduce its first product, the Exynos 2600, into the market before TSMC's 2nm products are launched. This could allow Samsung to claim an important milestone and challenge its rival's position in the next generation of chip technology.
