TSMC may increase Prices for Longtime Customers in 2021

One of the primary concerns in the semiconductor industry lately has been the shortage of the latest CPUs and GPUs, including the SoCs powering the next-gen consoles. This has been the result of unprecedented demand for 7nm chips from TSMC, limited operating capacity, shortage of substrates, poor 8nm yields from Samsung, and of course the impact of the pandemic on the global supply chain.

In view of the above factors, TSMC is planning to remove the loyalty discount that it offers its closest partners on all their foundry orders. While this discount is pegged at a measly 3%, it is quite substantial if you consider the total price of orders from a client.

This will likely be reflected as a price hike in most chipmakers’ financial reports, possibly leading to a marginal increase in the final price of the end products (CPUs, GPUs, and APUs).

TSMC hasn’t commented on the same just yet, but it wouldn’t come as a surprise as the company’s 7nm wafers have been in extremely high demand from all sides.



Computer hardware enthusiast, PC gamer, and almost an engineer. Former co-founder of Techquila (2017-2019), a fairly successful tech outlet. Been working on Hardware Times since 2019, an outlet dedicated to computer hardware and its applications.
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