October 3, 2022

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‘A costly exercise in tinkering’: TSMC founder smashes US chip ambitions

A wasteful and costly process of tampering: So TSMC founder, Maurice Chang, fee Attempt The United States to increase its domestic production of chips. According to the Taiwanese company’s owner, the United States embarked on a path in the 1970s and 1980s that made the most skilled chip-producers retrain them for higher-paying jobs.

As a result, a unprofessional Which prevents the United States today from being able to respond to the Asian ecosystem. According to Chang, while talent in the manufacturing sector has gone down other paths in the United States and other countries, Taiwan has created a “batch” of professionalism that today makes it the main pole of semiconductor production for third parties.

TSMC founder recognized in the United States for improved design capabilities of semiconductors, calling it “the best in the world.” “Taiwan has very little design talent, and TSMC has no talent at all.” As for production, in addition to the lack of professionalism, the United States also has a problem: i Costs.

Zhang claimed that Production costs in the United States are simply prohibitive And TSMC has the data to prove it thanks to 25 years of manufacturing at its Oregon plant, which, while profitable, likely won’t be expanded. Zhang said, “We were too naive to expect similar costs, but US chip manufacturing is 50% more expensive than Taiwan“.

So it is natural to wonder why TSMC decided to invest $12 billion plant in Arizona. Despite being a former since 2018, Zhang explained that the operation took place “on a date Petition from the United States governmentLed by Donald Trump at the time. The former CEO believes that billions in US subsidies are still far short of the amount needed to spur growth in the domestic manufacturing industry. Significant increase in unit costs and it will be difficult for the United States to compete internationally. Who knows what Intel thinks.

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A letter that can also apply to Europe and very modern”European chip law‘, which may nevertheless lose its meaning in the face of change in the status quo. The so-called ‘elephant in the room’ relates to the possibility of The war between China and Taiwan. According to Chang, if there was no conflict, the United States would have been involved in a costly mission, but if there was a war, “the United States would have more to worry about than chip production.”