Q2: TSMC Tops Foundry Market Over 70%, SMIC Third

According to data released by Counterpoint Research, TSMC dominated the global pure-play semiconductor foundry market in the second quarter of 2025 with a commanding 71% share, up from 68% in Q1 and 65% a year earlier — marking steady year-over-year growth.

Counterpoint noted that the overall pure-play foundry market grew 33% compared to the same period last year, mainly fueled by the rapid expansion of the AI industry and its growing demand for high-performance chips. Much of this additional revenue, the report said, was absorbed by TSMC.

The firm explained that TSMC's strong position was "driven by the ramp-up of 3nm mass production, high utilization rates for 4nm and 5nm nodes used in AI GPUs, and the continued expansion of CoWoS packaging technology."

Samsung Electronics secured the second spot with an 8% market share, although its share dropped by one percentage point from the previous quarter and two points year-on-year. Counterpoint attributed Samsung's stable ranking to the rebound in smartphone and consumer electronics demand.

SMIC ranked third with 5%, down slightly from the previous quarter, followed by UMC (5%) and GlobalFoundries (4%).

Looking ahead, Counterpoint Research forecasts that in the second half of 2025, wafer foundries’ advanced process utilization and overall shipment volumes are expected to continue rising as demand for AI and high-performance computing chips remains strong.