Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s biggest contract chipmaker, yesterday said it is optimistic about its business outlook over the next few years, benefiting from the uptake of artificial intelligence (AI) applications.
TSMC produces AI chips for a majority of AI chip designers from Nvidia Corp to Advanced Micro Devices Inc (AMD), using its cutting-edge process technologies, including 3 nanometers, 4 nanometers and 5 nanometers.
“We are optimistic about AI. [Demand] is really hot. Besides, AI applications are just in its infancy. More and more AI applications will be used in our daily lives,” TSMC chief executive officer and new chairman C.C. Wei (魏哲家) told a media briefing. “TSMC’s [business] outlook for the next few years will be very optimistic.”
Photo: CNA
TSMC’s board of directors yesterday tapped Wei to succeed Mark Liu (劉德音), who served as company chairman for the past six years.
Since there would be a wide spectrum of AI applications for different vertical industries, Wei said he could not agree more with Nvidia Corp CEO Jensen Huang’s (黃仁勳) bullish view about AI growth, Wei said.
The AI market would swell to US$100 trillion, Huang estimated.
TSMC would be a major beneficiary of this AI boom, given its technology leadership, Wei said.
Because of its strong technological capabilities, TSMC occupies a “very advantageous position,” Wei said.
That means “no one can compete with us so far — and we intend to maintain such an advantageous position,” he added.
Asked about a South Korean media report that Samsung Electronics Co is catching up with TSMC and nibbling on its turf, Wei said his company has no rival so far and doubted the publication’s trustworthiness.
TSMC has overtaken Intel Corp in offering the world’s most advanced foundry technology since 2018, when it rolled out 7-nanometer process technology.
Since then, the Taiwanese company has safeguarded its technology leadership position. The chipmaker plans to start mass production of 2-nanometer chips next year, ahead of its competitors.
“Since we continue advancing our technology ahead of [competitors], they have to adopt our technology,” Wei said. “TSMC does not develop any technology only for certain products or certain industries.”
The company’s secret formula behind its long-term technology leadership is that TSMC is always making progress, Wei said. That is why TSMC has an advantage over its competitors, he said.
Asked whether customers have asked TSMC to relocate its production outside of Taiwan because of escalating tensions between Taiwan and China, Wei said: “It had been discussed.”
However, it would be impossible to move all of the company’s production abroad, as 80 to 90 percent of its manufacturing capacity is based in Taiwan, he said, adding that he believed there was little chance of war.
Talking about the company’s approach to selecting the next leader, Wei, 71, said the company is working on a succession mechanism to ensure the company operates smoothly.
Whoever succeeds him should share the company’s values of maintaining its technological leadership, expanding capacity and winning customers’ trust, Wei said.
TRADE WAR: Tariffs should also apply to any goods that pass through the new Beijing-funded port in Chancay, Peru, an adviser to US president-elect Donald Trump said A veteran adviser to US president-elect Donald Trump is proposing that the 60 percent tariffs that Trump vowed to impose on Chinese goods also apply to goods from any country that pass through a new port that Beijing has built in Peru. The duties should apply to goods from China or countries in South America that pass through the new deep-water port Chancay, a town 60km north of Lima, said Mauricio Claver-Carone, an adviser to the Trump transition team who served as senior director for the western hemisphere on the White House National Security Council in his first administration. “Any product going
TECH SECURITY: The deal assures that ‘some of the most sought-after technology on the planet’ returns to the US, US Secretary of Commerce Gina Raimondo said The administration of US President Joe Biden finalized its CHIPS Act incentive awards for Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), marking a major milestone for a program meant to bring semiconductor production back to US soil. TSMC would get US$6.6 billion in grants as part of the contract, the US Department of Commerce said in a statement yesterday. Though the amount was disclosed earlier this year as part of a preliminary agreement, the deal is now legally binding — making it the first major CHIPS Act award to reach this stage. The chipmaker, which is also taking up to US$5 billion
High above the sparkling surface of the Athens coastline, the cranes for building the 50-floor luxury tower centerpiece of Greece’s future “smart city” look out over the Saronic Gulf. At their feet, construction machinery stirs up dust. Its backers say the 8 billion euro (US$8.43 billion) project financed by private funds is a symbol of Greece’s renaissance after the years of financial stagnation that saw investors flee the country. However, critics see it more as a future “ghetto for the rich.” It is hard to imagine that 10km from the Acropolis, a new city “three times the size of Monaco”
STRATEGIC MATERIALS: Taiwan’s advanced chips and tech help the US ‘stay ahead of China in technology competitions,’ central bank Governor Yang Chin-long said The incoming administration of US president-elect Donald Trump is unlikely to impose stiff tariffs on Taiwan’s advanced chips as well as information and communications technology (ICT) products, because they are special and strategic materials the US needs, central bank Governor Yang Chin-long (楊金龍) said yesterday. “Trump’s trade policies may affect Taiwan’s economy and financial markets through multiple channels... We need to be careful in dealing with monetary policy and foreign exchange,” Yang said at a meeting of the legislature’s Finance Committee in Taipei. After Trump’s return to the White House in January next year, it might become normal for Taiwan to be