The study aims at the subject of the technical and cost efficiency of the Taiwan semiconductor industry. There are 1731 observatories and 219 firms from the period of 2008 to 2016. Empirical methodology conducted the stochastic frontier analysis to estimate technical efficiency and cost efficiency. Samples collected from the database of TEJ that is majors in summarized the Taiwan public listed semiconductor's compare. Empirical results showed that Taiwan semiconductor firms' technical efficiency is approximate 1, cost efficiency exists non-significance. Results reveal that the Taiwan semiconductor firm owns the best experience of the optimal resource allocation, also needs to improve the cost efficiency.