Home ยป Unverified: TSMC Notifies Customers in China to Halt Delivery of Advanced Manufacturing Technology Chips for AI Applications

Unverified: TSMC Notifies Customers in China to Halt Delivery of Advanced Manufacturing Technology Chips for AI Applications

The Register reported that TSMC, a major chip manufacturer, has informed customers in China that they will stop shipping chips produced with 7-nanometer technology or higher, which are used for developing AI processing or GPU. This decision is in compliance with the US export control measures, effective since November 11.

The cancellation notice does not impact orders for 7-nanometer chips placed with TSMC for other purposes such as communication devices or smartphones. The overall impact on TSMC is relatively limited.

TSMC representatives have neither confirmed nor denied the news, stating that the company will not comment on rumors. They have stated that they are already complying with the regulations governing export control.

In the latest quarterly financial report, TSMC reported that revenue from 7-nanometer or higher technology products accounted for 69% of the total revenue.

TLDR: TSMC will stop shipping high-tech chips to China in compliance with US export control measures, impacting AI and GPU development. The revenue from advanced technology products accounts for a significant portion of TSMC’s overall revenue.

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