Taiwan Semiconductor Wins Praise From Jensen Huang As It Finalizes Six New Nvidia Processors

Taiwan Semiconductor Manufacturing Co. (NYSE:TSM) has significantly outperformed the broader market this year, with a 16% year-to-date gain, comfortably surpassing the Nasdaq Composite’s 10% return.

This strong performance is underpinned by the company’s indispensable role as a primary supplier for tech giants, including Nvidia (NASDAQ:NVDA) and Apple (NASDAQ:AAPL).

Nvidia CEO Jensen Huang reinforced that point with a visit to Taipei on Friday, where he thanked Taiwan Semiconductor for finalizing six new processors, including next-generation Rubin GPUs and a silicon photonics chip designed for future supercomputers.

Also Read: Taiwan Semiconductor’s Arizona Unit Turns Profitable For First Time

The visit highlighted how central Taiwan Semiconductor remains to Nvidia’s global supply chain, even as U.S. export rules and Chinese scrutiny complicate chip shipments.

Nvidia recently placed a 300,000-unit H20 chip order with the chipmaker after Washington cleared sales, but Beijing quickly raised cybersecurity concerns that pressured Chinese buyers to pause purchases.

A White House official told Reuters that the Trump administration is weighing equity stakes in semiconductor firms funded by the 2022 CHIPS Act but does not plan to target larger players such as Taiwan Semiconductor and Micron Technology (NASDAQ:MU).

The official confirmed a Wall Street Journal report that the government will not seek ownership of chip companies expanding their U.S. investments.

At President Donald Trump’s March White House event, Taiwan Semiconductor unveiled a $100 billion U.S. investment plan, adding to the $65 billion already committed for three plants in Arizona.

Taiwan Semiconductor executives have reportedly discussed returning subsidies if the administration demands shares.

The Commerce Department in 2024 finalized $6.6 billion in subsidies for Taiwan Semiconductor’s U.S. production.

Price Action: TSM stock is trading higher by 2.48% to $232.96 at last check Friday.

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