TSMC will implement significant price adjustments beginning in 2026, targeting advanced nodes below 5 nm with increases ranging from 5% to 10%, TrendForce reports. The world's largest contract chipmaker currently sells 3 nm wafers for approximately $20,000 each, but expects 2 nm wafers to exceed $30,000 when mass production begins in late 2025. These changes affect major customers including Apple and NVIDIA. TSMC's investments of over $65 billion in Arizona facilities represent a key factor in this pricing strategy since the U.S. plant started 4 nm production in early 2025. AMD's Lisa Su confirmed these overseas facilities cost 5-20% more to operate than Taiwan-based manufacturing due to various operational factors. The price increases show TSMC's efforts to maintain gross margins above 53% while Arizona operations are expected to reduce company-wide margins by 2-3% initially, potentially reaching 3-4% over time.

Meanwhile SanDisk announced a 10% price increase for all channel partners and consumer products, effective for new orders placed after September 5th. SanDisk says this decision is based on the increasing demand from AI applications, data centers, and mobile devices. The company plans regular price reviews with potential future modifications, while TSMC may reduce prices for mature manufacturing processes where cost pressures remain manageable.