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    Taiwan Semiconductor

The world’s largest contract manufacturer for chips, Taiwan Semiconductor has been managing an impressive feat under founder Chang: spending big on R&D and still managing healthy (35%) net income margins. The formula has led to 60% cumulative revenue and earnings growth over the past three years. The company’s mobile business has stood out as it secured a contract to produce some A9 chips for Apple’s iPhone. Still, the outlook for 2016 is sobering, and Taiwan Semiconductor will have to fend off the likes of Samsung to compete to make the next-generation A10 chip. But its breadth of customers—Qualcomm, Nvidia, Broadcom, AMD, and many others—should help it defend its position.

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