U.S. economy could be severely damaged if China takes control of TSMC says Commerce Secretary

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U.S. economy could be severely damaged if China takes control of TSMC says Commerce Secretary
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Alan, an ardent smartphone enthusiast and a veteran writer at PhoneArena since 2009, has witnessed and chronicled the transformative years of mobile technology. Owning iconic phones from the original iPhone to the iPhone 15 Pro Max, he has seen smartphones evolve into a global phenomenon.

, U.S. Commerce Secretary Gina Raimondo, during a House hearing, made it clear that the U.S. economy would be devastated if China were to invade Taiwan and take control of the world's largest foundry .

The U.S., according to the Commerce Secretary, is more dependent on TSMC than any country should be on one individual company. The U.S. relies on TSMC for a stunning 92% of its leading-edge chips. While there are other foundries around the world, only TSMC and Samsung Foundry will be producing cutting-edge smartphone application processors using a 3nm process node this year.

TSMC itself has increased the dollar amount of its commitment to its U.S. fabs from $40 billion to $65 billion and the company will add a third manufacturing facility on U.S. soil that will open in 2030. The first of the plants to open in Arizona will be Fab 21 phase 1 which will start producing 4nm and 5nm chips in 2025. The second facility will be home to Fab 21 phase 2 and will manufacture 2nm chips starting in 2028. By the end of the decade, TSMC will start production at Fab 21 phase 3.

A few years ago a U.S. security publication said that if TSMC is seized by China, the U.S. military will destroy TSMC's Taiwan-based fabs to keep the advanced chip-making equipment out of China's hands. And while it sounds funny to say, Taiwan has said that in the event of a war with China, it will protect TSMC's facilities from an attack by the U.S.

Beyond smartphones, Alan has covered the emergence of tablets, smartwatches, and smart speakers.A discussion is a place, where people can voice their opinion, no matter if it is positive, neutral or negative. However, when posting, one must stay true to the topic, and not just share some random thoughts, which are not directly related to the matter.Multiple accounts - one person can have only one accountModeration is done by humans.

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