NVIDIA: TSMC's 2nd Largest Client, 11% Revenue Share in 2023

In recent reports, it has been disclosed that NVIDIA has ascended to the position of the second-largest client for TSMC, trailing only behind tech giant Apple, within the domain of electronic components.

While TSMC typically upholds confidentiality in client relationships, compliance with pertinent U.S. legislation mandates the disclosure of client data contributing to over 10% of their revenue. An analysis by financial expert Dan Nystedt reveals that, in 2023, NVIDIA comprised 11% of TSMC's total revenue.

During the same fiscal year, NVIDIA made a significant payment of $7.73 billion to TSMC, constituting an 11% share of TSMC's overall revenue. TSMC's top ten clients collectively contributed to 91% of the net revenue, marking a notable increase from the 82% figure recorded in 2022. Prominent clients in this roster include MediaTek, AMD, Qualcomm, Broadcom, Sony, and Amphenol.

Amidst the burgeoning demand for artificial intelligence devices, it is anticipated that NVIDIA's revenue share at TSMC will experience growth in 2024. TSMC currently manufactures NVIDIA's cutting-edge products, such as the H100 and A100 artificial intelligence accelerators, at its advanced facilities.

Apple remains steadfast as TSMC's foremost client, and there are no foreseeable changes to Apple's standing with TSMC in the foreseeable future.