What are the key factors behind TSMC's expense fluctuations in 2023?

The key factors behind TSMC's expense fluctuations in 2023 are as follows:

|code|Ticker|Name|Date|R&D Expenses|R&D Expenses YoY|market_code|
|---|---|---|---|---|---|---|
|TSM|TSM.N|TSMC|2023 Q1|1.2846796999024E9|1.9945163956644079|169|
|TSM|TSM.N|TSMC|2023 Q2|1.33799873902512E9|0.36053732357273904|169|
|TSM|TSM.N|TSMC|2023 Q3|1.58615888492594E9|17.289564995595132|169|
|TSM|TSM.N|TSMC|2023 Q4|1.6463094399E9|13.46600962252989|169|

1. **Capital Expenditure Cut**: TSMC announced a reduction in its capital expenditure forecast by approximately 10% for the year, cutting it to $32-36 billion from $36.3 billion in 2022. This decision was made despite the company reporting a record quarterly profit surge. The cutback is attributed to several headwinds, including slowing global chip demand and rising costs.
2. **R&D Investment**: TSMC's R&D expenses have shown a fluctuating upward trend, from $1.28 billion in Q1 2023 to $1.65 billion in Q4 2023. This indicates the company's continued investment in research and development, which is essential for maintaining its technological leadership in the semiconductor industry.

In summary, TSMC's capital expenditure cut and R&D investment fluctuations in 2023 reflect strategic adjustments amid market changes and the company's ongoing efforts to balance growth and profitability.