"TSMC isn't a pure monopsony in the wafer fab equipment market. Intel and Samsung are still buying tools, just not as often as wafer fab equipment manufacturers would like. Memory manufacturers also buy wafer fab equipment tools, and trailing-edge foundries do too."
"Monopsony refers to a market in which there is only a single buyer, i.e., producers cannot find alternative buyers of their product."
"Monopsony permits the buyer to establish prices, terms and conditions that are quite different from those that would result from a market structure in which there were many competing buyers and sellers."
The only seller the article mentions is ASML. Single-seller market, too? At least when it comes to high-numeric-aperture (high-NA) extreme ultraviolet (EUV) lithography tools.
"When there are only a few buyers, it's an oligopsony. Given the consolidated nature of the semiconductor industry, most markets within the semiconductor supply chain are already oligopsonistic."
