Taiwan Semiconductor Manufacturing Company (TSMC) is likely to revise upward its capex for 2016 as equipment purchases thus far this year have been made in advance, according to industry sources.

TSMC has stepped up purchases of fab tools since the first quarter of 2016, said the sources. R&D of the foundry's 7/10nm process technologies has been executed ahead of schedule, while production capacity for its 16nm node technology continues to expand, the sources indicated.

Thus far in 2016, TSMC has disclosed 27 separate purchases of equipment and facilities totaling about NT$44.2 billion (US$1.37 billion), according to company filings with the Taiwan Stock Exchange (TSE).

TSMC in mid-January estimated capex for 2016 of US$9-10 billion, up from the US$8 billion allocated for 2015.