Why are we so dependent on Taiwan for microchips? Why couldn’t these be manufactured elsewhere, in addition to Taiwan?
In: 1601
The very interesting YouTube channel Asionometry deals with Asia’s industries, with a focus on semuconductors and high-tech stuff.
He has a whole series about TSMC, their importance and the other incredibly important ans specialized OEMs (Like ASML and Zeiss) that the whole industry depends on. Quite fascinating.
This is also becoming a huge stregic risk to the west. I’d say that the risk of China invading Taiwan is small, but losing TSMC would be such a huge blow to the west that even that small risk is untenable. Hence, the west is now pouring billions into catching up with TSMC, or at least in order to get them to build a gigafactory in a safer place, too.
Which is quite a dilemna – this monoply positions weren’t really e.g. TSMC’s fault. Also, Taiwan obviously likes the fact that the west has a very clear strategic interest in Taiwan churning out chips.
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