iPhone chip-maker Taiwan Semiconductor Manufacturing Company (TSMC) enjoyed a 9% boost in revenue in November.
The increase can be attributed to strong demand for the company’s 7-nanometer chipsets, which power Apple’s latest crop of smartphones. And TSMC is confident the success will continue into the holidays.
The iPhone 11 lineup has been selling well since making its debut in September. It is thought even Apple underestimated just how popular its newest handsets would be.
That’s obviously great news for Cupertino, but also for suppliers like TSMC, which are enjoying sizable revenue increases.
iPhone helps TSMC rake it in
TSMC reported consolidated revenues of NT$107.88 billion (approx. $3.54 billion) in November — up 9.7% year-over-year and 1.7% over October. Revenues for the year are up 2.7% so far.
“We expect the strength of demand for our 7-nanometer technology will continue, driven by high-end smartphones, initial 5G deployment and HPC-related applications,” said TSMC CFO Wendell Huang.
TSMC expects to rake in between $10.2 billion and $10.3 billion for the fourth quarter of this year, reports Digitimes. That will top the record it set in the third quarter.
Of course, iPhone isn’t the only smartphone using TSMC chips. But Apple is one of TSMC’s biggest customers, so we can be confident its handsets played a major role in these increases.
iPhone 11 an early success
Other Apple manufacturing partners have also reported growth since the introduction of the iPhone 11 lineup. Foxconn in November posted better-than-expected revenues, with quarterly profits rising 23%.
iPhone sales will almost certainly surge again in December as fans pick up the newest models for the holidays. iPhone 11 in particular, with its slightly cheaper price tag, will be at the top of many wish-lists.