Taiwan Semiconductor Manufacturing Company (TSMC) announced on April 20, 2026, that its consolidated revenue for the first quarter of the year reached a record NT$1.134 trillion. This financial result represents a substantial increase over previous periods, driven primarily by the rapid expansion of the artificial intelligence infrastructure market and the continued transition to advanced process nodes. The company reported that its 3-nanometer (3nm) and 5-nanometer (5nm) technologies accounted for more than 60% of its total wafer revenue during the quarter, underscoring the industry's reliance on leading-edge silicon.
In a strategic briefing held concurrently with the earnings release, TSMC Chief Executive Officer C.C. Wei unveiled the company’s most ambitious technology roadmap to date, centered on the sub-1-nanometer process designated as A10. According to the official timeline, TSMC expects to begin trial production of A10 chips by 2029. This announcement marks the first time the foundry has provided a specific window for the sub-1nm era, positioning it as the successor to the 1.4-nanometer (A14) node, which is currently in the development phase and scheduled for mass production in late 2027.
The A10 process will incorporate advanced nanosheet transistor architectures and is expected to leverage High-Numerical Aperture (High-NA) Extreme Ultraviolet (EUV) lithography. TSMC confirmed that it has finalized procurement agreements for these advanced lithography systems to ensure the necessary precision for sub-1nm patterning. Management stated that the A10 node is designed to deliver a 20% improvement in power efficiency and a 15% increase in performance over the preceding A14 generation, catering to the needs of next-generation data centers and autonomous systems.
Chief Financial Officer Wendell Huang provided further detail on the company’s fiscal health, noting that the first-quarter gross margin reached 54.8%, while the operating margin was recorded at 43.2%. Huang attributed these figures to improved yield rates on the 3nm process and disciplined cost management. For the full year 2026, TSMC reaffirmed its capital expenditure budget of $32 billion to $36 billion, with approximately 70% to 80% of that capital allocated toward advanced process technologies.
Regarding global operations, TSMC reported that its Fab 21 in Arizona has reached its target yields for initial 4nm production and is preparing for the introduction of 3nm capabilities by 2027. The company also confirmed that its second plant in Kumamoto, Japan, is on track to begin operations by the end of 2027. These international expansions are part of a broader strategy to diversify manufacturing footprints while maintaining the core research and development hub in Taiwan. The briefing concluded with a reaffirmation of TSMC’s long-term revenue growth target of 15% to 20% compounded annually.