According to Taiwanese media reports, the Taiwan Semiconductor Manufacturing Company (TSMC) is raising prices on mature-process products starting January 2027. This follows earlier price increases for the company’s most advanced processes.

Several integrated circuit design companies have admitted that they have received notice from TSMC that prices for mature-process products will be raised, with the magnitude of increases varying by customer. They expect the changes to take effect in January of next year.

Liu Pei-chen (劉佩真) from the Taiwan Institute of Economic Research (TIER) says that the price increases are the result of advanced processes, which have long been in short supply, ‘crowding out’ mature processes by forcing TSMC to reallocate production capacity. Additionally, Liu said that R&D, equipment, and manufacturing costs for the most cutting-edge nodes continue to rise as silicon chips approach the physical limits of scale. This, as well as geopolitical factors and increased fab construction costs, will inevitably be reflected in TSMC’s pricing.