ASML to Build at Least 60 EUV Machines in 2026 Amid AI Chip Surge

ASML Ramps EUV Production by 36% to Meet AI Chip Demand

ASML, the Dutch manufacturer of extreme ultraviolet (EUV) lithography equipment essential for producing advanced semiconductors, plans to increase its EUV machine production by 36% this year compared to 2025, as surging demand from AI chipmakers strains supply. The company expects to produce at least 60 EUV systems in 2026, up from 48 delivered last year, with capacity set to rise to at least 80 systems annually in the next phase.

Record Orders From Memory Giants

The production ramp comes as major chipmakers have placed unprecedented orders for ASML's machines. SK Hynix disclosed in a regulatory filing in March that it would purchase 11.95 trillion won ($7.97 billion) worth of EUV lithography tools for delivery by December 2027, as it accelerates its transition to sixth-generation process technology for high-bandwidth memory and other AI-related chips. Samsung Electronics followed with orders for approximately 20 EUV systems worth more than 10 trillion won ($7.4 billion) for its Pyeongtaek P5 fab, also targeting its 1c-generation DRAM process. Meanwhile, TSMC has signalled it expects capital expenditure near the top of its $52-$56 billion guidance range for 2026, with 70% to 80% directed towards advanced process technologies.

Strong Q1 and Raised Outlook

ASML's first-quarter 2026 results, reported on 14 April, underscored the strength of demand. The company posted total net sales of EUR 8.8 billion, up 13% year-on-year, with a gross margin of 53% and net income of EUR 2.8 billion. EUV systems alone contributed more than EUR 4.1 billion in revenue, including two High-NA units. Management raised its full-year 2026 revenue guidance to EUR 36 billion-EUR 40 billion, up from a prior range of EUR 34 billion-EUR 39 billion, citing stronger immersion demand and incremental EUV upside from non-China customers.

Securing Supply Amid AI Buildout

ASML faces no competition in EUV lithography, with machines priced between $200 million and $400 million each. The company is also advancing its technology, having demonstrated a path to boosting EUV light source power from 600 watts to 1,000 watts, which could enable roughly 50% more chips per machine by the end of the decade. Its next-generation High-NA EUV tools have now processed 500,000 wafers and achieved approximately 80% uptime, a milestone indicating readiness for volume production.