Cisco Systems, Inc. (CSCO) vs Taiwan Semiconductor Manufacturing Company Limited (TSM)

Cisco Systems, Inc. is the world’s largest provider of networking equipment and ranks among the largest software companies globally. Its core businesses include networking hardware and software, where it holds leading market positions, as well as cybersecurity software such as firewalls. The company also offers collaboration solutions, including its Webex suite, and observability tools. Cisco primarily relies on third-party manufacturers and maintains a large sales and marketing organization of 25,000 employees across 90 countries. In total, the company employs about 80,000 people and markets its products worldwide.

Taiwan Semiconductor Manufacturing Co. (TSMC) is the world’s largest pure-play semiconductor foundry, holding roughly 70% market share in 2025. Founded in 1987 as a joint venture between Philips, the Taiwan government, and private investors, the company listed in Taiwan in 1994 and later launched its US ADR in 1997. TSMC’s vast scale and advanced manufacturing capabilities support strong operating margins, even within the highly competitive foundry industry. The ongoing shift toward the fabless semiconductor model has also provided meaningful growth tailwinds. Its distinguished customer base includes Apple, AMD, and Nvidia, which rely on TSMC’s leading-edge process technologies for their chip designs. The company employs more than 83,000 people.