TSMC, the largest semiconductor producer in the world, plans to increase its capital spending by up to 40% this year after reporting a 35% rise in net profit due to the AI boom. The company, which produces over 60% of the world's semiconductors, aims to boost its capital expenditure budget to $56bn for 2026. TSMC's shares have risen over 6% this year, reflecting strong demand for its advanced chip technologies. Despite concerns about an AI bubble, TSMC's CEO expresses confidence in the growing demand for AI-related products.