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Hmm, what if TSMC just told the US, "ok, go screw yourself, I'll sell my services to anyone but you and your companies? Yes, TSMC would lose a lot. But arguably
by throw310822 2y ago
Hmm, what if TSMC just told the US, "ok, go screw yourself, I'll sell my services to anyone but you and your companies? Yes, TSMC would lose a lot. But arguably the damage to the US would be a lot more.
But of course ultimately the US has guns and TSMC doesn't, and the US wouldn't accept this type of outcome.
- IncreasePosts 2y agoThis would be a great way to go out of business. Every single one of their suppliers, and customers, would need to make the same choice simultaneously. As a simple example, how long would TSMC survive without new machines and support from ASML?
- threeseed 2y agoUS can simply impose sanctions on any company using TSMC. At which point TSMC would lose most of their customer base overnight. US is a superpower not just because of guns but because it is a large economy with lots of innovative and globally significant companies.
- leptons 2y agoThis has more to do with ASML supplying the machines that TSMC uses to produce the chips. Without ASML, TSMC would not be leading the world in semiconductor manufacture, they wouldn't even be worth talking about without ASML's machines. And the US gets to say who can have those machines from ASML. China can't have them, due to export limitations. All the US has to do is say no more export to Taiwan and TSMC is fucked.
- 8note 2y agoASML of course, being a Dutch company and not American, is to say that ASML then has dependencies on somewhere else. For TSMC though, I think it's much more likely that if they didn't comply, the US navy would land marines in Taiwan to force them to comply
- leptons 2y ago|In 1997, ASML began studying a shift to using extreme ultraviolet and in 1999 joined a consortium, including Intel and two other U.S. chipmakers, in order to exploit fundamental research conducted by the US Department of Energy. Because the CRADA it operates under is funded by the US taxpayer, licensing must be approved by Congress. |In June 2023, the Netherlands' Institute for Human Rights ruled that despite the country's constitution prohibiting discrimination based on nationality, ASML was allowed to reject job applications from residents of countries subject to sanctions under the U.S. Export Administration Regulations (such as Cuba, Iran, North Korea, and Syria) in order to remain compliant with U.S. law.[46][47][48] |In January 2024, the Dutch government placed further restrictions on the shipment of some advanced chip-making equipment to China.[49]On 6 September 2024, the Dutch government tightened export controls on certain ASML chipmaking equipment, aligning its policy with U.S. restrictions to limit China’s access to advanced technology amid safety and geopolitical concerns.[50] https://en.wikipedia.org/wiki/ASML_Holding https://en.wikipedia.org/wiki/ASML_Holding The U.S. is definitely controlling where this tech goes.
- PeterStuer 2y agoIf ASML said no to US restrictions, they would quickly find themselves Northstreamed.
- lkbm 2y agoTSMC, the largest Taiwanese corporation, says "screw the US, we'd rather trade with the PRC". What exactly do you think happens to TSMC in that situation? Are you familiar with what the Taiwanese government is, how it came to be, and the current stance of the PRC towards that government?
- riehwvfbk 2y agoThere are actually 3 competing political parties in Taiwan with varying stances towards the PRC and the idea of being a US pawn.
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