Taiwan Semiconductor Manufacturing Co. Ltd.

Rapidus President Atsuyoshi Koike made clear that mass production of advanced semiconductors with 2-nanometer circuit line widths, planned for the latter half of next year, is progressing without delay, with strong demand centered on AI semiconductors and data centers providing a powerful tailwind for the company. In an exclusive interview with Reuters, Koike noted that the environment has become far better than imagined when Rapidus was founded in 2022, and that the wind of demand is blowing with tremendous force. He expressed the outlook that demand will rise rapidly in automotive fields such as autonomous driving and in physical AI, and that this boom will undoubtedly continue. While he is conscious of competition with leading companies such as TSMC in semiconductor contract manufacturing, he said the required supply volume is already nowhere near enough from just one or two companies, that he agonizes every day over how to supply it, and that he will do everything possible to narrow the supply-demand gap even a little. As for how to compete with rivals, he explained that speed is the first and foremost factor, and stressed that the company will achieve overwhelmingly short delivery times especially for prototypes, which are important to customers. Rapidus has been advancing development by dispatching researchers to a research base in Albany, New York, centered on collaboration with IBM of the United States. Last July, the company announced that it had confirmed transistor operation for a prototype of a 2-nanometer-class semiconductor at its base in Chitose, Hokkaido. According to Koike, the company is currently working to improve performance and device characteristics, and performance is definitely rising. He said that toward mass production, things are proceeding on schedule for now. He also said the company has put in place a framework to support customers' semiconductor design work before manufacturing, and by shortening customers' design periods as well, the strategy is to accelerate development from both the design and manufacturing sides. On pricing strategy, he expressed the view that the prices of TSMC, the world's largest company, serve as one benchmark in the industry. At the same time, he pointed out that in a market where supply shortages continue, customers may value the added value of rapid supply, not just price competition. He said the industry is entering a world where, by the same principle as paying for a bullet train fare, customers prefer that you produce large volumes no matter what, even if it costs more, and expressed the view that some customers will pay for shorter delivery times. He revealed that the company is currently continuing order negotiations with dozens of potential customers, and that several well-known companies, mainly the major US tech firms known as GAFA M, have shown interest and evaluation is finally beginning. Meanwhile, he stressed that supporting not only large customers but also startups is an important mission, and indicated a policy of actively offering shuttle services that place chips from multiple customers on a single wafer to reduce manufacturing costs. He said European startups also have considerable potential to become customers, and that no one knows when they might become giant companies like GAFA M. Rapidus has raised about 417.6 billion yen from public and private sources since the start of this year, and is also receiving government funds in the form of research and development support. The company has set a goal of conducting an initial public offering around fiscal 2031, and Koike said on this point that while there is of course a target, given how rapidly the world is changing, the company is thinking with some flexibility and wants to carry it out reliably and properly. The company has already begun hiring personnel for IPO-related work. Koike analyzed that a factor in the decline of Japan's semiconductor industry, which once dominated the world, was a go-it-alone approach that lacked the concept of global collaboration, and said with enthusiasm that staying closed within Japan will not work, and that he intends to change that completely. He said that looking ahead to the 1.4-nanometer and 0.7-nanometer generations after 2 nanometers, it is necessary to incorporate advanced technologies through joint research with research institutions and companies around the world.

Taiwan Semiconductor Manufacturing is facing significant capacity constraints as global demand for advanced chips tied to AI applications surges. Major chip customers including Qualcomm, Nvidia, Tesla, and Google are increasingly turning to Samsung as an additional advanced foundry supplier. Samsung is using its full SF4 line and has reportedly raised some advanced foundry prices by up to 15%, helped by orders from those customers. The shift toward dual sourcing highlights both the strength of demand for TSMC's manufacturing services and potential supply risk for clients. Investors should watch how much additional advanced node and AI focused packaging capacity TSMC commits to in its next capital expenditure update and quarterly results.

A filing with the U.S. Securities and Exchange Commission shows that SoftBank Group acquired a new stake in U.S. financial giant Capital One during the second quarter and sold 71.5% of its holdings in Taiwan Semiconductor Manufacturing Company. SoftBank Group purchased 276,811 shares of Capital One in the quarter, valued at 55.5 million dollars at the end of June. It also acquired 10,718 shares of Life360, which provides location-sharing services, valued at 488,500 dollars. Meanwhile, it sold 1.4 million TSMC shares for 269.8 million dollars, equivalent to 71.5% of its stake in the company.

SoftBank Group Corp. reported first-quarter 2026 results with sales rising to ¥2,019.59 billion while net income eased to ¥347.33 billion, and disclosed a new stake in Capital One alongside the sale of 71.5% of its Taiwan Semiconductor Manufacturing holding. The higher revenue but lower per-share earnings, combined with a sharp portfolio shift toward U.S. financials and away from a major semiconductor holding, gives investors fresh insight into how SoftBank is reshaping its earnings mix and investment risk profile. The move out of Taiwan Semiconductor and into a U.S. bank does not clearly change the near-term AI monetization catalyst, but it underlines the key risk around portfolio concentration and execution in public markets. SoftBank's narrative projects ¥9570.6 billion revenue and ¥741.9 billion earnings by 2029, requiring 7.1% yearly revenue growth and an earnings decrease of approximately ¥4241.7 billion from ¥4983.6 billion.

Intel has unveiled a plan to raise $15 billion through a share sale to expand its chip foundry business, capitalizing on a stock price surge driven by its turnaround efforts. Bloomberg reported, citing sources, that Intel intends to increase the offering size to around $20 billion and may price the shares at $95 or higher, a discount of about 2.6% from Monday's close of $97.52. Investor demand has exceeded $100 billion, and the total raised could surpass $20 billion if an overallotment option is exercised. Intel is pouring massive investments into new factories and advanced packaging technology to challenge leaders like Taiwan Semiconductor Manufacturing Co. in the foundry market. It raised its capital expenditure forecast for this year from $18 billion to $20 billion in July and pledged to begin high-volume production using its 14A process node by 2028.