The semiconductor foundry industry continued to show solid momentum in the first quarter of 2026, with growth led by AI-related demand, advanced-node capacity, power management ICs, automotive, industrial applications and specialty technologies.
The broader semiconductor market also remained strong. According to the Semiconductor Industry Association, global semiconductor sales reached US$298.5 billion in Q1 2026, up 25% compared with Q4 2025, with March sales up sharply year-on-year.
TSMC remained the clear leader. The company reported Q1 2026 revenue of US$35.9 billion, up 40.6% year-on-year and 6.4% quarter-on-quarter. The main growth driver was strong demand for TSMC’s advanced process technologies, especially from AI and high-performance computing customers. TSMC also guided for further growth in Q2, supported by continued demand for its chip process technologies.
Samsung Foundry continued to recover. Industry data indicates that Samsung Foundry benefited from new 2nm product shipments and HBM4 logic-die output, helping the business return to profitability and remain the second-largest foundry supplier.
SMIC reported Q1 2026 revenue of US$2.505 billion, up 11.5% year-on-year. The growth was supported by higher blended wafer prices, strong demand for power management products, and continued growth in industrial and automotive applications, which helped offset weaker smartphone demand. SMIC’s utilization rate remained high at 93.1%.
UMC reported Q1 2026 revenue of NT$61.04 billion, or about US$1.93 billion, up 5.5% year-on-year. UMC said wafer shipments increased 2.7% quarter-on-quarter, supported by strong consumer-segment growth. The company also highlighted continued momentum in its 22nm logic and specialty processes, which reached another record high and accounted for 14% of first-quarter revenue.
GlobalFoundries reported Q1 2026 revenue of US$1.634 billion, up 3% year-on-year. Growth was supported by execution in secular growth markets and differentiated technologies. The company also pointed to traction in end markets where its specialty platforms are gaining share. Its communications and data-center business, including optical networking, was highlighted as a key growth area.
Hua Hong Semiconductor reported Q1 2026 revenue of US$660.9 million, up 22.2% year-on-year. The company said growth was driven by strong performance across its process platforms, especially MCU, standalone flash and BCD products. Its 12-inch capacity ramp-up also continued, with 12-inch revenue contribution rising to 62.7%, while 8-inch lines remained profitable.
Tower Semiconductor delivered Q1 2026 revenue of US$414 million, up 15% year-on-year. The company benefited from strong customer demand across key technology platforms, especially silicon photonics and silicon germanium. Tower is also expanding 300mm capacity to support demand for silicon photonics and other technologies.
Vanguard International Semiconductor (VIS) and Powerchip Semiconductor Manufacturing Corp. (PSMC) also showed growth. VIS reported April revenue growth of 9.6% year-on-year, while January-April revenue was up around 6%. PSMC reported April revenue growth of 32.5% year-on-year, with year-to-date revenue also up 32.5%, indicating strong momentum in mature-node foundry demand.
DB HiTek also showed strong growth in Q1 2026. The company reported preliminary consolidated revenue of KRW 374.6 billion, approximately US$257.5 million, up 26% year-on-year, supported by demand for power semiconductors from AI data centers and electric vehicles.
Overall, Q1 2026 showed a split foundry market. Advanced-node and AI-related demand continued to support TSMC and Samsung, while mature and specialty foundries benefited from power management, automotive, industrial, BCD, silicon photonics, silicon germanium and China-localization demand.
Note: Figures are rounded. Samsung Foundry figures are based on industry estimates because Samsung does not provide a full standalone foundry revenue breakdown. VIS and PSMC Q1 figures are estimated from January-April and April revenue disclosures in the attached source.
| Rank | Foundry | Q1 2026 Revenue | Q1 2025 Revenue | YoY Growth | Main Growth Driver |
|---|---|---|---|---|---|
| 1 | TSMC | US$35.9B | US$25.5B | +40.6% | AI, HPC and advanced-node demand |
| 2 | Samsung Foundry | ~US$3.4B | N/A | N/A | 2nm shipments, HBM4 logic die output |
| 3 | SMIC | US$2.505B | US$2.25B | +11.5% | Power management, industrial and automotive demand |
| 4 | UMC | US$1.93B | US$1.83B | +5.5% | Consumer recovery, 22nm logic and specialty processes |
| 5 | GlobalFoundries | US$1.634B | US$1.585B | +3.0% | Optical networking, data center and specialty platforms |
| 6 | Hua Hong Semiconductor | US$660.9M | US$541M | +22.2% | MCU, standalone flash, BCD and 12-inch ramp-up |
| 7 | PSMC | ~US$430M | ~US$325M | ~+32.5% | Mature-node demand and stronger utilization |
| 8 | Tower Semiconductor | US$414M | US$358M | +15.0% | Silicon photonics, SiGe and specialty platforms |
| 9 | VIS | ~US$393M | ~US$375M | ~+5% | Specialty foundry demand and stable mature-node business |
| 10 | DB HiTek | ~US$257.5M | ~US$204M | +26.0% | Power semiconductors for AI data centers and EVs |
