You are currently viewing SemiWiki as a guest which gives you limited access to the site. To view blog comments and experience other SemiWiki features you must be a registered member. Registration is fast, simple, and absolutely free so please, join our community today!
Did he say Morris Chung? Is that the proper pronunciation of Chang? Hard to believe he is 90 years old!
US Semiconductor Issues:
Lack of manufacturing talent
Cost difference between Taiwan and OR is 50% more
Arizona fabs were at the urging of the US Government
US semiconductor onshoring is a wasteful exercise in futility
US best design capabilities in the world
Taiwan is not nearly as advanced as US companies in design
Morris assumes there will not be a war between China and Taiwan
Lack of manufacturing talent: In Eugene, OR (elsewhere there is talent)
Cost difference between TW and OR is 50%: Stop repressing TW salaries! This will disappear, regardless, as fab engineer WFH spreads
AZ fabs were at the urging of the US Government: True, and US is becoming directly involved in the industry, perhaps not a great development judging from other SOEs in other countries
US semiconductor onshoring is a wasteful exercise in futility: Time will tell. He is in a position to judge, so his prediction has weight. But, there are security and national strategy reasons that may be more important. A resurgent US semi mfg is not good for TSMC so he is not impartial here.
US best design capabilities in the world: Probably true, although ARM has operations in UK and France which are talented. Apple is the best currently.
TW is not nearly as advanced as the US companies in design: No idea, is this true?
Morris assumes there will not be a war between China and TW: I hope so, but hope is not a plan. This goes back to the basic reason for onshoring and US national strategy.
This is quite an entertaining interview, and worth the 40 minutes – thanks for posting!
>> Morris assumes there will not be a war between China and Taiwan
That isn’t -exactly- what he said … what he said was: if there is one, then we’ll all have bigger problems to worry about than semiconductors.
I agree the likelihood is low, and barring such a conflict there’s little strong economic logic. That said, the consequences would be high, and having spent several years now in Government, even a minor corner of it, I can attest with confidence that governments do any number of things for reasons other than “it’s a good idea.” Furthermore, in my (very limited) experience, the mainland’s government culture is markedly different from its tech culture. Plus there’s risk on the US side too; few of us would dispute that under a second Trump administration, the West’s response to Putin in Ukraine would likely have been quite different. Who knows what 2024 (or even possibly 2022) will bring us?
Like the SA guy, I’m not selling my TSMC shares. But a little increased geographic diversity for TSMC operations is no bad thing.
The Japan semiconductor industry is a good case study. Japan went from a leader to a follower during my career. I spent a lot of time in Japan early in my career, very little time at all in the second half.
