By Joe Tenebruso
Publication Date: 2026-04-16 20:37:00
Artificial intelligence (AI) model developers like OpenAI and chip designers like Nvidia get all the glory. But there are other, less well-known ways to cash in on the AI revolution.
Taiwan Semiconductor Manufacturing (TSM 3.13%) is one of the best of these often-overlooked — yet highly lucrative — investments.
Image source: Getty Images.
Make no mistake, Taiwan Semiconductor Manufacturing is more familiar to astute investors who appreciate well-run businesses with powerful competitive advantages.
As its name suggests, the Taiwan-based tech titan is a leading manufacturer of advanced semiconductor chips used across an array of industries, including smartphones, consumer electronics, and AI data centers.
With a market capitalization of over $1.6 trillion, it’s a proven, dominant enterprise. Yet it’s set to grow far larger in the coming years.
Here are three reasons why now is a great time to invest in this AI powerhouse.
1. Alliances with the AI leaders
Taiwan Semiconductor Manufacturing, often referred to as TSMC, builds the cutting-edge AI chips that Nvidia and Advanced Micro Devices design. Amazon and Apple are also major customers. As are Qualcomm, Broadcom, and Intel. In all, TSMC manufactured 12,682 different products using 305 diverse technologies in 2025.
By partnering with the world’s biggest and best tech companies, TSMC has positioned itself to profit from a wide range of technological trends. High-performance computing, the Internet of Things (IoT), and…