## TSMC: Caution in AI Investments TSMC, the world's leading semiconductor manufacturer, has expressed some apprehension regarding a potential speculative bubble in the artificial intelligence sector, while reporting exceptional financial results. The company anticipates sustained revenue growth from 2026 onwards, thanks to strong demand for AI accelerators. Despite the positive outlook, TSMC's management emphasizes the importance of a prudent investment strategy. According to the CEO, careless investments could prove disastrous for the company. For this reason, TSMC plans to invest between $52 and $56 billion in capital expenditures. ## Semiconductor Market Context The semiconductor sector is cyclical and requires significant investments in research and development and new factories (fabs) to remain competitive. TSMC, in particular, finds itself having to balance the growth opportunity offered by AI with the risks associated with a rapidly evolving market. TSMC's ability to manage this transition will be crucial to its future success.