To meet the rising demand for chip technology, ASML is ramping up the production of its EUV machines. It aims to ship 60 machines this year and eighty next year.
As the sole manufacturer of specialized extreme ultraviolet lithography (EUV) machines, ASML has become a crucial linchpin in the global chip industry. The Dutch company, based in Veldhoven, plans to significantly increase production in the coming years. For 2026, it is targeting sixty produced and delivered machines, and by 2027, it wants to raise that figure to eighty, the company told the Wall Street Journal.
Earlier this month, CEO Christophe Fouquet noted that the demand for chips is currently outstripping supply. That is an understatement: there is a global shortage of chip and memory technology that is driving prices up sharply. The rising demand is good news for ASML: the company recently revised its revenue and profit forecasts for 2026 upwards.
Expand
Boosting production is easier said than done for ASML: a single EUV machine is the size of a bus and takes months to assemble. ASML will also first have to invest heavily itself to expand capacity: the company is setting aside two billion euros for new infrastructure and equipment and also wants to expand its sites in Eindhoven. In the long run, these investments will more than pay for themselves: the cost of an EUV machine can reach up to 350 million euros.
ASML primarily wants to learn from the past. During the previous chip crisis at the time of the COVID-19 pandemic, the company was not ready to handle the surge in demand. Now, it wants to be able to incrementally increase capacity to eighty machines by 2028. Last year, ASML managed to deliver 44 machines. The Leuven-based research center imec is one of the first lucky recipients to receive a machine this year.
No order from TSMC
TSMC has no plans to place an order with ASML for the time being. During a conference in the United States, the Taiwanese semiconductor manufacturing leader showcased its roadmap through 2029, which includes no place for ASML. According to TSMC, ASML’s machines are too expensive, and it can improve its manufacturing process for now using current technology. “Only when we see that High-NA provides meaningful, measurable benefits will we start working with it,” said Kevin Zhang, Senior VP of TSMC.