Rumor
TSMC and Samsung manufacturing capacity reaches full utilization amid surging demand
Wednesday, February 11, 2026 at 06:44 AM
TSMC's advanced logic production lines are reportedly operating at near 100% capacity, while Samsung's DRAM and NAND manufacturing facilities also show high utilization rates. Current procurement levels are exceeding input volumes, and significant production capacity expansion is expected from Chinese firms throughout this year.
Context
TSMC and Samsung have reached 100% manufacturing capacity utilization as of February 2026, fueled by an unprecedented surge in AI demand. TSMC faces chronic shortages in its sub-3nm nodes, with order backlogs from major clients like NVIDIA and Apple now extending into 2028. Simultaneously, Samsung is operating at full capacity across its DRAM and NAND lines. The aggressive shift toward high-margin HBM4 production has triggered a global supply crunch, with Samsung warning of sustained memory shortages through the end of the year.
This imbalance has granted major foundries significant pricing power, leading to anticipated price hikes of 10% to 20%. While industry leaders focus on cutting-edge nodes, Chinese firms like SMIC and Hua Hong are initiating an explosive production increase in mature nodes. China is projected to become the world’s largest source of IC wafer capacity by late 2026. With TSMC forecasting nearly 30% revenue growth this year, the primary bottleneck remains silicon availability as global demand continues to outpace total industry output.
Sources (1)
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