Considering Taiwan accounts for 68% of the semiconductor market, it's no surprise that the United States wants to bring manufacturing closer to home and away from the prying eyes of China.
So while the CHIPS Act provides funding and investment to build semiconductor manufacturing plants on American soil, it's probably a good idea to have a backup solution to prevent China from seizing production lines in case it decides to invade Taiwan. .
To mitigate this, both the Dutch company ASML and the Taiwan Semiconductor Manufacturing Company (TSMC) have installed security systems that can be activated remotely to stop chip production, a new Bloomberg the report stated.
Turn off the chip machine
Following the election of pro-independence President Lai Ching-te, China stepped up its threats against the island nation that China considers part of its territory. The rise in hostile rhetoric led US officials to express concern about the security of semiconductor manufacturing in the island nation, with both ASML and TSMC stating they have the ability to remotely shut down machines in the event of an invasion. .
Semiconductors are used in a wide range of products, such as GPUs used for AI training and high-tech military hardware. The United States recently issued an embargo on China to prevent exports of higher-tech chips from reaching the country, which could be used for military hardware; However, some companies were recently found to be circumventing the ban.
The United States has invested heavily in both chip manufacturing and the defense of Taiwan in an effort to deter China from launching any form of military intervention. However, the ultimate goal is to secure chip manufacturing on American soil to prevent Chinese espionage and sabotage. In an effort to deter China's efforts, Taiwan's President Lai Ching-te announced that he wanted the island to stop making chips and focus on AI.
“We must adapt AI to the industry and accelerate the pace of AI innovation and applications. “We must also adapt industry to AI and use the computing power of AI to strengthen our nation, our military, our workforce and our economy,” the president said (via Register).
