TSMC Pushes Back on Report It Is Planning 3D DRAM Production for Nvidia

Taiwan Semiconductor Manufacturing Co is considering expanding into advanced memory chip production, in a move that would allow it to capture a larger share of the AI hardware market, The Information reported on Friday — but TSMC has since pushed back, saying it remains focused on its dedicated foundry business.

The company recently started charting plans for making a type of advanced memory chips called 3D DRAM at the request of Nvidia, its biggest customer, the report said, citing two people with direct knowledge of the matter.

TSMC and Nvidia did not immediately respond to Reuters' requests for comment.

What the report claimed

TSMC could opt to build new factories for advanced memory chips, but it was not clear when it plans to begin production, according to the report.

The world's largest chip manufacturer is also exploring acquiring an existing plant and converting it for memory production, the report said, similar to Micron's move this year to buy a fab and convert it for DRAM output.

DRAM, or dynamic random access memory, chips are used to store data temporarily in devices. 3D DRAM is a memory architecture that stacks memory cells vertically rather than in a single horizontal layer to boost capacity.

The push is helmed by Hsu Kuo-chin, a vice president who oversees advanced packaging at TSMC, according to the report.

TSMC's potential move comes at a time when a severe, AI-driven shortage of memory chips has pushed up prices and sent chip designers scrambling to look for additional supply.

If TSMC pushes into advanced memory, it will have to compete with companies such as Samsung Electronics, SK Hynix and Micron.

TSMC's response

TSMC has since pushed back on the report. A TSMC spokesperson told Tom's Hardware that the company "focuses on our core business at all times, which is dedicated IC foundry" and that its mission is "to be the trusted technology and capacity provider of the global logic IC industry for years to come."

Tom's Hardware described the response as amounting to a denial, though the statement did not directly address whether such plans exist. On Friday, TSMC said it does not comment on market rumors and repeated that it is a logic foundry.

Analysts point out that commercializing 3D DRAM remains years away even for established memory producers like Micron, Samsung and SK Hynix, and that TSMC works with DRAM producers to package memory into system-in-packages for customers but lacks the expertise and production capacity to make DRAM, let alone 3D DRAM.

Sources

• Reuters — TSMC considers making advanced memory chips, The Information reports
• Mezha (via Tom's Hardware) — TSMC denies exploring 3D DRAM production at Nvidia's request
• Innopark IT — AI Boom Turns Chip Packaging Into the New Semiconductor Battleground
• Innopark IT — DRAM Revenue Jumps 36.9% in Q3 2026 as AI Demand Surges