Market capitalization of Taiwan Semiconductor Manufacturing Co. (TSMC), the world's largest contract chipmaker, has reached NT$1.9 trillion (S$83.6 billion), a historic high, said Morris Chang, the firm's chairman and CEO, yesterday.

The legendary tech guru made the remarks during a speech on the story of TSMC's founding and evolution into one of the most prestigious firms in the world. The event, organized by the Chung-Hua Institute for Economic Research, drew more than 300 people.

In his speech, Chang mentioned the three chip giants of the world, namely Samsung, Intel and TSMC.

He said Samsung is the global leader in chip making, while Intel has gained expertise in the production of high-end microprocessors.

Of TSMC, he said the firm has taken a course similar to that of Toyota, winning customers with advanced technology, high yield rates and reasonable price.

Of TSMC's founding in 1985, Chang expressed his appreciation for two people who played a critical role in the firm's inception: Lee Kuo-ting, then Minister-Without-Portfolio; and Hsu Hsien-hsiu, then chairman of the National Science Council.

He also thanked TSMC shareholders for giving their continued support, without which the firm could not have its current NT$1.9 trillion market value.

He discussed his management philosophy, saying the most important part of corporate governance was human resources training.

"You cannot have factions or cliques within a firm," he said. "Otherwise your competitiveness will be dragged down."

Also during the speech, he offered his view on the recent upward surge of the Taiwan dollar, which reached a high of NT$29.831 at one point yesterday.

He said the central bank's effort to curb the New Taiwan dollar was "not 100 per cent effective," yet was commendable.

He declined to comment on by how much the New Taiwan dollar will continue to rise, only saying exporters should have their own hedging operations to minimize exchange rate risk.