Sources say TSMC will cut its capital expenditure this year to less than $30 billion.

CTOnews.com, October 17, according to the Economic Daily, TSMC's capital expenditure has dropped to less than US $30 billion this year due to the delay in outsourcing of Intel 3nm process and the delay in mass production of 4nm process in the new US plant. If the news is true, it will reach the lowest point in nearly three years.

Market researchers believe that even if TSMC cuts its capital expenditure this year, it will increase R & D costs and continue to promote the research and development of advanced processes.

SMC has rapidly expanded its capital spending, reaching an all-time high of $36.3 billion last year. In the first half of this year, actual capital expenditure was $18.11 billion, of which $8.17 billion was in the second quarter, down slightly from $9.94 billion in the first quarter.

TSMC said at its earnings meeting in July that capital expenditure this year would remain between $32 billion and $36 billion (CTOnews.com note: about 233.92 billion-263.16 billion yuan currently), and actual spending for the whole year is expected to be close to the lower end of that range, given market developments.

Due to delays in Intel's outsourcing of 3nm and US fab production plans for 4nm, about $4 billion of capital expenditure originally scheduled for this year may be postponed to next year, leading to a reduction in capital expenditure, according to the latest report. spending this year is less than $30 billion (currently about 219.3 billion yuan). As for capital expenditure next year, it is likely to be the same as this year.