Huawei is sinking! TSMC stops manufacturing Huawei processors due to US
End, and now a new chapter of this story appears. TSMC has announced that it will stop manufacturing Chinese brand processors, in compliance with Donald Trump's government orders. So keep reading to learn more about this new strike for the North American country against Huawei.
The Taiwan semiconductor manufacturer, the world's largest semiconductor manufacturer, has stopped receiving and processing new orders from Huawei, one of its main customers. According to a report published by Nikkei Asian Review, the company made this decision to comply with new U.S. export controls. These controls are intended intentionally to make it difficult for Huawei to create or acquire chips using American software and technology, even at companies abroad. Orders taken prior to the ban or in production will not be affected, as long as they can be shipped before September 14.
Remember that Huawei, the world's largest communications equipment maker, is the second largest TSMC customer after Apple. TSMC manufactures many of the most advanced processors that Huawei uses, even on their mobile devices. The TSMC announcement came after some rumors about talks between White House officials and the company to build development plants in the United States. This is to reduce reliance on factories in Asia and the international supply chain.
In addition, the company announced that it would open a new $ 12 billion advanced chips and processors plant in Arizona. All this will be possible, with the support of the state and the federal government of the United States. Once opened, it will allow more US TSMC customers to manufacture its processors locally. With this in mind, Huawei is likely to choose Samsung as a new source for the supply of chips. The company also recently explored domestic processor production through China International Semiconductor Industry Corporation (SMIC), which has just received $ 2.2 billion in investment from the Chinese government.
Despite all U.S. sanctions, Huawei remains firm in dominating the Chinese market. Now we can only wait when this new battle between the Asian giant and the Trump administration unfolds.
End, and now a new chapter of this story appears. TSMC has announced that it will stop manufacturing Chinese brand processors, in compliance with Donald Trump's government orders. So keep reading to learn more about this new strike for the North American country against Huawei.
The Taiwan semiconductor manufacturer, the world's largest semiconductor manufacturer, has stopped receiving and processing new orders from Huawei, one of its main customers. According to a report published by Nikkei Asian Review, the company made this decision to comply with new U.S. export controls. These controls are intended intentionally to make it difficult for Huawei to create or acquire chips using American software and technology, even at companies abroad. Orders taken prior to the ban or in production will not be affected, as long as they can be shipped before September 14.
Remember that Huawei, the world's largest communications equipment maker, is the second largest TSMC customer after Apple. TSMC manufactures many of the most advanced processors that Huawei uses, even on their mobile devices. The TSMC announcement came after some rumors about talks between White House officials and the company to build development plants in the United States. This is to reduce reliance on factories in Asia and the international supply chain.
In addition, the company announced that it would open a new $ 12 billion advanced chips and processors plant in Arizona. All this will be possible, with the support of the state and the federal government of the United States. Once opened, it will allow more US TSMC customers to manufacture its processors locally. With this in mind, Huawei is likely to choose Samsung as a new source for the supply of chips. The company also recently explored domestic processor production through China International Semiconductor Industry Corporation (SMIC), which has just received $ 2.2 billion in investment from the Chinese government.
Despite all U.S. sanctions, Huawei remains firm in dominating the Chinese market. Now we can only wait when this new battle between the Asian giant and the Trump administration unfolds.
