TSMC's CEO explained that capital expenditure increases typically take 2-3 years to translate into actual fab capacity expansion. The current CapEx of $52B-$56B will have minimal impact on supply in the current year and only a slight impact in 2027. Significant capacity increases are projected for 2028-2029, with continued expansion if AI demand grows as expected. In the short term (2026-2027), TSMC aims to improve productivity.