Future GPUs, CPUs and smartphones could get pricier as TSMC hikes chip prices

Q: Which TSMC process nodes are mentioned as affected by the up-to-10% price increase?

The article states the price hike covers both mature and advanced 7nm and below processes. These are the process nodes mentioned as affected by the up-to-10% increase.

Q: When will TSMC's new pricing reportedly take effect and how much lead time are clients getting?

The new pricing will kick in at the start of 2027. The report says TSMC intends to give clients time to adjust before the change, but it does not specify how much lead time clients are getting.

Q: How much extra premium could high-performance computing orders face on top of the base increase?

High-performance computing orders could face an additional premium of 10 to 15% on top of the base increase.

Q: Which major customer does the article name as likely to be hardest hit by the price hikes?

The article names Apple as expected to be one of the hardest hit by the price hikes. The increases cover processes used for Apple's A-series and M-series chips and may coincide with the rumored launch of future iPhone models.

TSMC is set to raise chip prices by about 10%, indicating that products such as GPUs, CPUs, and smartphones could get even more expensive.

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Jak Connor

Tech and Science Editor

Published Jul 21, 2026 8:34 AM CDT

1 minute & 15 seconds read time

TL;DR: TSMC plans up to a 10% foundry price increase starting early 2027 for mature and sub‑7nm processes, citing higher material, equipment, construction and power costs; HPC orders may incur extra 10-15% premiums, likely raising costs for GPUs, CPUs, smartphones-Apple among the most affected.

Voice: Jak ConnorSpeed

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TSMC, the world's best semiconductor manufacturer, is set to raise foundry prices by up to 10% in 2027, according to a report from Nikkei Asia.

Future GPUs, CPUs and smartphones could get pricier as TSMC hikes chip prices 1

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The price hike reportedly covers both mature and advanced 7nm and below processes, which are used for Apple's A-series and M-series chips. The increases, finalized in recent weeks, are attributed to rising material, equipment, and construction costs, with TSMC citing a "strategic, not opportunistic" approach to its pricing. Additionally, the price comes after it was discovered TSMC will soon have to generate and store its own electricity, which is going to be a monumental task considering TSMC consumes about 9% of Taiwan's total electricity grid.

The report states TSMC intends to give clients time to adjust before the new pricing kicks in at the start of 2027. Additional high-performance computing orders will face further premiums of 10 - 15%, potentially pushing total costs for some advanced chips over 10% higher. According to Nikkei, Apple is expected to be one of the hardest hit, with the price increases likely to line up with the rumored launch of the iPhone 18 and 20th anniversary models, which means the following year we may see further price increases in devices using TSMC's chips.

Future GPUs, CPUs and smartphones could get pricier as TSMC hikes chip prices 2

Frequently Asked Questions

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Question #1

Which TSMC process nodes are mentioned as affected by the up-to-10% price increase?

Question #2

When will TSMC's new pricing reportedly take effect and how much lead time are clients getting?

Question #3

How much extra premium could high-performance computing orders face on top of the base increase?

Question #4

Which major customer does the article name as likely to be hardest hit by the price hikes?

Have a question not listed here? Ask below and TweakBot will answer it.

Apple's ability to absorb or pass these costs to consumers remains an open question that many consumers are already bracing for the answer to, as costs for electronics in general, particularly those that use components that are sought after by AI companies, are already increasing substantially. Finding out that the next iPhone is going to be even more expensive, or any product that uses TSMC's process, will simply be perceived as expected and unsurprising.