Bank of America Raises TSMC and ASE Valuations; Server CPU Chip Market Forecast to Expand from $15B to $49B by 2028

According to Bank of America, on June 25, the global server CPU-related semiconductor manufacturing market is forecast to expand from $15 billion in 2025 to $49 billion by 2028, with outsourced production rising from 52% to 71% of the total, strengthening the core position of pure-play foundries like TSMC in advanced CPU segments.

The server CPU-related packaging and testing market is projected to grow from $1.9 billion to $9.6 billion over the same period. Bank of America has raised valuation expectations for supply chain leaders including TSMC and ASE, identifying advanced process nodes and advanced packaging as the segments with the highest barriers within the industry.