Home ยป Chairman of TSMC declares relocation of chip manufacturing plants from Taiwan nearly impossible

Chairman of TSMC declares relocation of chip manufacturing plants from Taiwan nearly impossible

C.C. Wei, the chairman of TSMC, the world’s leading chip manufacturer, revealed to the media at the annual general meeting that political tension in Taiwan has led to uncertainties with customers, especially regarding the relocation of chip production out of Taiwan. However, he emphasized that TSMC is striving to avoid confrontations or challenging situations.

He mentioned that it is almost impossible to move chip production facilities out of Taiwan as 80-90% of TSMC’s current manufacturing capacity is located there. Wei did not disclose which customers were discussing these issues.

TSMC also disclosed discussions with OpenAI regarding chip production. They noted that OpenAI’s CEO, Sam Altman, is deeply committed to this collaboration, exceeding their initial expectations. The volume of chips required by OpenAI exceeds TSMC’s current production capacity.

Source: Reuters

TLDR: C.C. Wei from TSMC discusses political tensions in Taiwan affecting customer discussions on chip production, with challenges in relocating facilities. Also, TSMC in talks with OpenAI for chip production, exceeding expectations on chip volume needed.

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