On Tuesday, Taiwan’s TSMC (the manufacturer of the world’s most advanced semiconductors) announced that they would invest $40 billion to build a second semiconductor fabrication (“fab”) plant in Phoenix, Arizona.

This includes $12 Billion invested in the current construction of the first “fab.”
See New York Times article titled, “In Phoenix, A Taiwanese Chip Giant Builds a Hedge Against China.”
The announcement took place at the first TSMC “fab in progress” in Phoenix.
Also present during that announcement was President Biden, U.S. Secretary of Commerce Gina Raimondo, Senator Mark Kelly, the founder of TSMC, Morris Chang and TSMC’s CEO Mark Liu, including Apple’s Tim Cook.
This is terrific news for the U.S. and the West for a variety of well-known reasons.
But from an IP protection and risk analysis perspective, TSMC/Phoenix must gear up for the inevitable efforts the Chinese-State will make to infiltrate and steal the most advanced semiconductor manufacturing science to date.
Since July I have written three (3) posts that address the semiconductor race.
We know that the race to possess the most advanced chips is not just an economic issue, but a national security issue.
It’s important to remember that not only does the U.S. not have the present capability to make the most advanced semiconductors (which will soon change) but neither does China.
As Secretary Raimondo said, “Right now in the United States, we don’t really make any of the world’s most sophisticated, leading-edge, cutting-edge chips,” she said. “That’s a national security issue, a national security vulnerability. Today, we say we’re changing that.”
The first “fab” will employ 4,500 workers.
That’s 4,500 opportunities to infiltrate TSMC/Phoenix and steal for the Chinese.
ADDITIONAL READING
IP Probe Blog – 9/16/22 – “The New Arms Race: Semiconductors (Microchips a.k.a. CHIPS)–Pt. 2”
IP Probe Blog – 8/23/22 – “The New Arms Race: Semiconductors (Microchips a.k.a. CHIPS)”
IP Probe Blog – 7/31/22 – “CNN Interview with Mark Liu, Chairman of Taiwan’s Premier Semiconductor Company-TSMC”
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