TSMC is currently discussing a project to invest in the construction of a super-sized wafer fab. This project is expected to be a major investment, similar to TSMC’s gigafab project in Arizona, USA, which consists of six facilities.
On Friday, Sina cited media reports indicating that TSMC is evaluating the possibility of building an advanced chip manufacturing base in the UAE. The project under discussion involves investing in a super-sized wafer fab, anticipated to be a significant investment comparable to TSMC’s gigafab initiative in Arizona, comprising six plants. TSMC’s project in Phoenix, USA, involves a total investment of up to $165 billion, including manufacturing, R&D, and packaging facilities. TSMC has been advancing the Arizona project since the first term of the Trump administration and has received $6.6 billion in federal funding support from the US government. However, the timeline and total cost for the UAE project remain unclear, and formal construction may not commence for several years or even longer. Media reports state that in recent months, TSMC has held multiple meetings with US Middle East envoy Steve Witkoff and representatives from MGX, a UAE-based company. MGX is a newly established AI investment fund in the UAE and is an influential investment entity locally, overseen by the brother of the UAE president. These negotiations by TSMC are essentially a continuation of discussions from the Biden administration era, which gradually faded as Biden left office. TSMC is one of the most critical companies in the global semiconductor industry chain. Most of the advanced chips it produces are designed by companies like NVIDIA and AMD, used for core computations in various electronic devices, and provide essential support for training AI models. Risk Warning and Disclaimer: The market carries risks, and investment requires caution. This article does not constitute personal investment advice and does not consider individual users’ specific investment objectives, financial situations, or needs. Users should assess whether any opinions, views, or conclusions in this article align with their particular circumstances. Investments made based on this are at the investor’s own risk.
