Biden to give Taiwan’s TSMC $6.6 billion to ramp up US chip production
The US government plans to give $6.6 billion to Taiwan Semiconductor Manufacturing Company to help build three factories in Arizona for semiconductor chips. This investment is part of efforts to strengthen domestic chip production and reduce supply chain vulnerabilities. TSMC's total investment in Arizona is more than $65 billion and will create thousands of high-wage tech jobs.
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FAQ - Biden to give Taiwan’s TSMC $6.6 billion to ramp up US chip production - CNN
Frequently Asked Questions:
1. What is the purpose of the Biden-Harris administration's grant to TSMC?
- The Biden-Harris administration is awarding up to $6.6 billion in grants to Taiwan Semiconductor Manufacturing Company (TSMC) as part of a broader effort to ramp up U.S. chip production, reduce dependency on foreign supply chains, and strengthen the domestic semiconductor industry.
2. Which act facilitates the grant provided to TSMC?
- The grant is facilitated under the U.S. CHIPS and Science Act, which aims to support the semiconductor industry and enhance technological innovation and research within the United States.
3. How much is TSMC investing in the Arizona plants, and what will the funding support?
- TSMC is investing more than $65 billion in the Arizona plants. The $6.6 billion funding from the U.S. government will support TSMC's commitment to manufacture leading-edge chips in Arizona, aiding in a new chapter for America’s semiconductor industry.
4. What will TSMC announce in light of the funding it is set to receive?
- With the proposed CHIPS direct funding, TSMC has announced a 2-nanometer technology at its second fab (fabrication plant) and a new third fab to produce advanced semiconductor chips.
5. What does the establishment of TSMC's new fabs mean for the U.S.?
- The establishment of TSMC's new fabs in Arizona marks significant progress in revitalizing the U.S. semiconductor manufacturing capabilities, ensuring leadership in chip technology, and creating high-tech jobs.
6. How does the TSMC investment align with President Joe Biden's goals?
- This investment aligns with President Biden's efforts to restart advanced manufacturing in critical technology sectors within the U.S., thereby fostering economic growth and national security through self-reliance.
7. When was the construction of TSMC's Arizona chip factory underway?
- The construction of TSMC's chip factory in Phoenix, Arizona, was already underway as of December 2022.
8. What is the anticipated technological achievement of TSMC's new fabs?
- TSMC's second fab is anticipated to employ 2-nanometer technology, which represents cutting-edge semiconductor manufacturing capabilities and would significantly enhance chip performance and energy efficiency.
9. Is TSMC the only recipient of funding under Biden's chip manufacturing initiative?
- TSMC is a major recipient; however, the broader initiative aims to support various projects and companies in the semiconductor industry to build a resilient and secure supply chain within the U.S.
If you need more detailed information, you may refer to the reports provided by CNN and other listed sources.