Overview
- Broadcom, which briefed reporters Tuesday, said Taiwan Semiconductor Manufacturing Co. has reached production limits that are capping AI chip supply this year.
- Executives said TSMC plans to add capacity through 2027, yet the buildout lags demand and leaves 2026 as a choke point for advanced processors.
- Shortages now extend beyond chips to lasers and printed circuit boards used in optical networking, with some PCB deliveries stretching from about six weeks to as long as six months according to industry write‑ups of Broadcom’s remarks.
- Customers are locking in multi‑year supply deals to secure parts, a shift Samsung highlighted last week as it moves major clients onto three‑to‑five‑year agreements.
- TSMC, a key manufacturer for Nvidia and Apple, said in January that its advanced lines were already tight, and the long lead time to build new fabs means relief is most likely when added capacity comes online in 2027.