Intel getting help from Commerce Secretary Raimondo as part of effort to spur U.S. production

[tooLongInEDA]

That statement is quite plausible. Especially 'They should be applauded for this'. Because their low margin isn't welcomed by anyone beside its customers. Everyone else including shareholders, employees, competitors are negatively affected by it. For shareholder, the company they invest in should sell more per ASP, more profits was left on the table. Employees are mistreated by its working culture. They are paid good amount in Taiwanese terms, but definitely not at a level that they should be getting. Competitors are negatively impacted too because the ecosystem is surrounding TSMC because of its low margin, attracting more customers' orders; hence more ecosystem that is build around it. Hence it comes 'Silicon Shield'.

People on this forums believe that it is a norm for young people in Taiwan and they should sell their liver to TSMC because of its culture. That TSMC's margin is not abusing the market. That shareholders of TSMC are well compensated. How sick those statement is. For better or for worse, TSMC should be a driving force in shaping the industry to be more dynamic, more competitive. Otherwise, it is safe to conclude that it is abusing the market with its monopolistic power. With great power, comes great responbility. TSMC has always been highly responsible only to its clients and that's why every customer has been loyal to them. But that is no good.

Look, it's amazing how TSMC has achieved in the past decade or so. But one should not forgot that the work culture in TSMC isn't reproducible anywhere in the developed nations unless there is strong government support. And TSMC's doing when Nvidia is raising profit margin like crazy, has TSMC raise its prices, knowing that their product and services are almost irreplacable, yet only charges 53%.

Isn't that fishy?

You do realise that you appear to be arguing for TSMC to start engaging in price manipulation in order to raise their margins to a level where Intel becomes a competitive foundry. You're heading into the territory of anti-competitive and cartel behaviour there.

As it is, TSMC is making excellent profits based on its current pricing and its shareholders appear to be very happy with this. They are satisfying both their shareholders and customers and striking a balance where they can maintain a long term relationship with healthy, profitable customers. How is any of that a problem ?

Besides any of that, I'm not sure any of us are party to the nVidia-TSMC contracts and what these actually allow in terms of pricing changes (how much, how often, etc).

I'm sure you're free to write to the relevant competition authorities with your complaint about TSMC's alleged market abuse. Let us know how you get on.

 

[XYang2023]

You do realise that you appear to be arguing for TSMC to start engaging in price manipulation in order to raise their margins to a level where Intel becomes a competitive foundry. You're heading into the territory of anti-competitive and cartel behaviour there.

As it is, TSMC is making excellent profits based on its current pricing and its shareholders appear to be very happy with this. They are satisfying both their shareholders and customers and striking a balance where they can maintain a long term relationship with healthy, profitable customers. How is any of that a problem ?

Besides any of that, I'm not sure any of us are party to the nVidia-TSMC contracts and what these actually allow in terms of pricing changes (how much, how often, etc).

I'm sure you're free to write to the relevant competition authorities with your complaint about TSMC's alleged market abuse. Let us know how you get on.

The Highly Profitable Chip Making Monopoly Called TSMC

When Taiwan Semiconductor Manufacturing speaks, the datacenter sector of the IT industry listens because, with few exceptions, this foundry etches the

www.nextplatform.com

TSMC Tries to Diversify Businesses amid Rising Monopoly Allegations

In September last year, French regulatory authorities conducted a raid on NVIDIA on charges of monopolistic practices in the graphics processing unit (GPU) mar

www.businesskorea.co.kr

US chipmaker GlobalFoundries asks China to probe TSMC

Already under EU investigation, Taiwan company now accused of unfair competition

asia.nikkei.com

 

[jim_22222]

Ahh I'm not sure what the apartment building has anything to do in this case.

to clarify this one.
in US Midwest engineers are making one third the amount of those in west coast. one major reason is their rent could cost just one third of the other locations.
they were not treated unfairly. it's just market activity. there are pros and cons of working there. they balance all the factors and make a decision.
that's also why Intel pick ed next factory location in oh. it's not like they want to rip off those people in oh.

those people in Midwest take a loss in life style with limited entertainment etc to exchange for job opportunity.
in tw technicians living in a apartment to exchange for job opportunity. which is the same thing.

But Semiconductor manufacturing industry has been this only high-paying industry in Taiwan. Name a second industry, but I'm sure anything you mentioned is because of TSMC.

TSMC is the only and last diamond TW has. Everything was designed around it

 

[jim_22222]

Well, let me ask, is there any work-life balance? TSMC simply has the best of Taiwan. Why don't they simply hire more? Why

ironically, many of them work ed in US companies before they moved to tsmc.
you should ask Why they want to give up Intel technician pay and pick up a position in tsmc.

they can't hire more since there is no more resources left on that island. there are a dozen of other fabs operating there.

are we still hearing 'Selling your live to TSMC' phrases constantly?

They paid the highest salaries but only because Taiwan is under-developed. What they paid will be the highest for sure, but no where can it be at Intel's salary to their fab technician.



You should look forward, semiconductor manufacturing should be the highest margin industry, especially leading edge. You think semi manufacturing shouldn't be compensated a lot higher when there's only three leading edge foundries in the world. Yet, two out of three are almost dysfunctional? TSMC's board and the company knowingly and admittedly killed the competition, and that is without a

I bet they are very nervous every time pg announce something crazy, like16a at the corner.
they are scared to death if any of their customers want to switch the boat. it could well be their beginning of a death spiral.

so all natural reactions.

doubt. Will they raise margin to 60/70% when both Intel and Samsung failed and exited. Probably not because they know that the strategy they adopted today will make Taiwan as irreplaceable 10 years, 100 years from now on. If Intel and Samsung failed, there will be a third one, but TSMC is still irreplaceable, 99% of market volume will still go to TSMC if no market intervention from the government.

 

[cliff]

Business “acumen” you cannot be serious. He’s gone bankrupt how many times? The man has no idea what he is talking about. Dunning Kruger much…

The casino bankruptcy was caused by the governer allowing the area across the street to be a shithole. Areas that bring in revenue should have been dealt with.

 

[cliff]

I run a 100% US based EDA and analog IP company (SerDes, Transceivers, Standard cells, etc). Intel won't give us the DRM. I have waited 3 years for it. I just emailed them a week ago. Nothing....

TSMC (through Imec) provides their PDKs to us quickly. We automated many of their processes (12ffc for example) in both analog and digital. Because this and GF are the only FinFET process we officially have direct access to, we continue to build up our portfolio on Intel's competitor's processes.

@delong.height , you are an owner of Intel. Can you explain this? Maybe you need to grab that baseball bat.