Taiwan Semiconductor Manufacturing Co. is reportedly considering producing advanced memory chips as a severe chip shortage squeezes margins at some of the world's largest device makers and pushes up prices for products ranging from Apple's iPhones to Sony's PlayStation consoles.
The Information reported that TSMC is weighing the move at Nvidia's request. Producing memory chips would give the world's largest contract chipmaker a much larger role in the AI hardware supply chain ecosystem, providing better visibility into industry trends and eventually helping to ease the shortage.
The effort centers on three-dimensional dynamic random-access memory, or 3D DRAM, according to the report.
BOOM
— zerohedge (@zerohedge) November 6, 2026
*TSMC MULLS EXPANDING INTO ADVANCED MEMORY CHIPS: INFORMATION
TSMC already manufactures Nvidia's AI processors. Producing memory as well could give its AI customers - such as Nvidia - a clearer picture of future chip supplies.
TSMC has not yet committed to production. The Information gave no timetable, investment figure, or output target.
As we've noted, CXMT, China's largest DRAM maker and the world's fourth-largest, also aims to expand production. Debt-funded spending on AI infrastructure helped spark the memory shortage. Following this week's Democratic sweep of Congress,
