• Geopolitics and IC Production

    From Rick C@21:1/5 to All on Mon Feb 21 02:37:29 2022
    Maybe I'm reading too much into this, or maybe this is nothing new, just the first time I've heard of it. TSMC was planning a new 7 billion dollar factory. Now they are adding 1.6 billion dollars to expand capacity from 45,000 12 inch wafers to 55,000
    wafers per month.

    What surprised me is they are building it in Japan. I'm wondering if this has anything to do with the Chinese being more aggressive about Taiwan being a part of the PRC.

    Since so much of the demand for chips are by the car companies, and the auto part company Denso Corp has a 10% stake in the new facility, maybe they are demanding the plant be in Japan where they make the cars, again to be independent of what happens in
    Taiwan.

    --

    Rick C.

    - Get 1,000 miles of free Supercharging
    - Tesla referral code - https://ts.la/richard11209

    --- SoupGate-Win32 v1.05
    * Origin: fsxNet Usenet Gateway (21:1/5)
  • From David Brown@21:1/5 to Rick C on Mon Feb 21 13:34:22 2022
    On 21/02/2022 11:37, Rick C wrote:
    Maybe I'm reading too much into this, or maybe this is nothing new,
    just the first time I've heard of it. TSMC was planning a new 7
    billion dollar factory. Now they are adding 1.6 billion dollars to
    expand capacity from 45,000 12 inch wafers to 55,000 wafers per
    month.

    What surprised me is they are building it in Japan. I'm wondering if
    this has anything to do with the Chinese being more aggressive about
    Taiwan being a part of the PRC.

    Since so much of the demand for chips are by the car companies, and
    the auto part company Denso Corp has a 10% stake in the new facility,
    maybe they are demanding the plant be in Japan where they make the
    cars, again to be independent of what happens in Taiwan.


    It's also possible that it makes the logistics easier - if the main
    customers of the plant are in Japan, and they get at least some of their
    raw materials there, then it makes sense to build it there. Maybe there
    are tax reasons too.

    TMSC may also feel that having everything in Taiwan is a vulnerability independent of PRC - a major plant in another country reduces the risk
    from earthquakes, storms, plagues, and the like. But then it might have
    made more sense to go for the USA or somewhere in Europe.

    You are probably right to suspect PRC / Taiwan politics to have been at
    least part of the reasoning, but it might not be the only reason.

    --- SoupGate-Win32 v1.05
    * Origin: fsxNet Usenet Gateway (21:1/5)
  • From Dimiter_Popoff@21:1/5 to David Brown on Mon Feb 21 18:05:13 2022
    On 2/21/2022 14:34, David Brown wrote:
    On 21/02/2022 11:37, Rick C wrote:
    Maybe I'm reading too much into this, or maybe this is nothing new,
    just the first time I've heard of it. TSMC was planning a new 7
    billion dollar factory. Now they are adding 1.6 billion dollars to
    expand capacity from 45,000 12 inch wafers to 55,000 wafers per
    month.

    What surprised me is they are building it in Japan. I'm wondering if
    this has anything to do with the Chinese being more aggressive about
    Taiwan being a part of the PRC.

    Since so much of the demand for chips are by the car companies, and
    the auto part company Denso Corp has a 10% stake in the new facility,
    maybe they are demanding the plant be in Japan where they make the
    cars, again to be independent of what happens in Taiwan.


    It's also possible that it makes the logistics easier - if the main
    customers of the plant are in Japan, and they get at least some of their
    raw materials there, then it makes sense to build it there. Maybe there
    are tax reasons too.

    TMSC may also feel that having everything in Taiwan is a vulnerability independent of PRC - a major plant in another country reduces the risk
    from earthquakes, storms, plagues, and the like. But then it might have
    made more sense to go for the USA or somewhere in Europe.

    You are probably right to suspect PRC / Taiwan politics to have been at
    least part of the reasoning, but it might not be the only reason.

    Also if much of their facilities are outside Taiwan it will lower the
    Chinese appetites, thus perhaps lower the US costs to keep guarding
    the island. Good news anyway.

    --- SoupGate-Win32 v1.05
    * Origin: fsxNet Usenet Gateway (21:1/5)
  • From Joe Gwinn@21:1/5 to david.brown@hesbynett.no on Mon Feb 21 11:14:05 2022
    On Mon, 21 Feb 2022 13:34:22 +0100, David Brown
    <david.brown@hesbynett.no> wrote:

    On 21/02/2022 11:37, Rick C wrote:
    Maybe I'm reading too much into this, or maybe this is nothing new,
    just the first time I've heard of it. TSMC was planning a new 7
    billion dollar factory. Now they are adding 1.6 billion dollars to
    expand capacity from 45,000 12 inch wafers to 55,000 wafers per
    month.

    What surprised me is they are building it in Japan. I'm wondering if
    this has anything to do with the Chinese being more aggressive about
    Taiwan being a part of the PRC.

    Since so much of the demand for chips are by the car companies, and
    the auto part company Denso Corp has a 10% stake in the new facility,
    maybe they are demanding the plant be in Japan where they make the
    cars, again to be independent of what happens in Taiwan.


    It's also possible that it makes the logistics easier - if the main
    customers of the plant are in Japan, and they get at least some of their
    raw materials there, then it makes sense to build it there. Maybe there
    are tax reasons too.

    TMSC may also feel that having everything in Taiwan is a vulnerability >independent of PRC - a major plant in another country reduces the risk
    from earthquakes, storms, plagues, and the like. But then it might have
    made more sense to go for the USA or somewhere in Europe.

    You are probably right to suspect PRC / Taiwan politics to have been at
    least part of the reasoning, but it might not be the only reason.

    TMSC is building a foundry in Arizona.

    .<https://www.reuters.com/technology/tsmc-says-construction-has-started-arizona-chip-factory-2021-06-01/>

    Joe Gwinn

    --- SoupGate-Win32 v1.05
    * Origin: fsxNet Usenet Gateway (21:1/5)