TSMC delays decision on EU chip factory

Taiwan Semiconductor Manufacturing Company (TSMC) has said that it is still too early to say whether or not it will build factories in Germany as talks regarding its EU chip factories are still in the early stages.

As reported by Reuters, if TSMC does decide to build factories in the EU, it could help lessen the effects of the current global chip shortage.

In an effort to boost semiconductor production, the European Commission has held talks with global chip giants including both Taiwan-based TSMC and US-based Intel.

The pandemic has led to a global chip shortage that has affected the production of smartphones, laptops, appliances and even automobiles as modern cars all contain computers used for operating their air conditioning systems, radios, cruise control, anti-lock braking systems and more.

Too early to say

During an annual shareholder meeting, TSMC chairperson Mark Liu told attendees that the company is still doing reviews regarding building chip fabrication plans in Germany.

However, at this time, it’s too early to say whether or not TSMC will begin building factories in Germany. The company has been communicating with its major clients in the country though in order to see whether the move would benefit their businesses.

While its decision to build factories in Germany has been delayed, TSMC is still moving forward with its plans to expand its $12bn factory in Arizona to support client demand in both infrastructure and national security.

Earlier this year, TSMC announced that it would invest $100bn over the next three years in order to increase its capacity at a time when device manufacturers just can’t get chips fast enough.

Via Reuters