Another Record for ASML
ASML, the Dutch semiconductor equipment monopolist responsible for extreme ultraviolet lithography machines, reported Q2 2026 revenue of €10.1 billion, up 29% year-over-year and a new quarterly record. Net bookings of €7.8 billion reflect continued demand from TSMC, Samsung, and Intel as leading chipmakers prepare their most advanced process nodes.
High-NA EUV in Volume Delivery
ASML's highest-value product — the High-NA EUV lithography machine (the TWINSCAN EXE:5000) — is now in volume delivery. Each machine costs approximately €380 million, and the company delivered 8 units in Q2 2026. TSMC and ASML have confirmed High-NA EUV will be used for TSMC's N2 and future process nodes beginning in 2027.
The Monopoly Position
ASML is the only company capable of producing EUV lithography equipment required for chips below 5nm. High-NA EUV (required for below approximately 2nm) extends this monopoly further. The company's technology lead over would-be Chinese competitors (particularly CXMT and SMEE) is estimated at 10-15 years by independent analysts.
Export Controls Impact
ASML cannot ship any EUV equipment to China under US and Dutch export control rules. Chinese foundries (primarily SMIC) are limited to DUV (deep ultraviolet) lithography, capping their process node advancement. This export control dynamic has accelerated Chinese investment in domestic equipment development, though closure of the technology gap remains years away.
2026 Guidance
ASML raised full-year 2026 guidance to €37-40 billion revenue from prior guidance of €34-38 billion, reflecting stronger than expected order conversion and High-NA machine deliveries.