AI chips are pushing everything else off TSMC's most advanced production lines
The Decoder
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AI Hardware
AI Business
In 2026, nearly every major AI accelerator family is moving to TSMC's N3 manufacturing process at the same time - Nvidia's Rubin, Google's TPU v7/v8, Amazon's Trainium3, and AMD's MI350X. The resulting demand shock is hitting a foundry that simply can't expand fast enough. According to SemiAnalysis, TSMC has been caught flat-footed, with wafer capacity expansion falling well behind surging AI demand.