Posted on 04/23/2023 11:29:50 AM PDT by libh8er
Taiwan Semiconductor Manufacturing Co. is seeking up to $15 billion in tax credits and grants from the federal government to support its Arizona semiconductor plants amid concerns about subsidy criteria, the Wall Street Journal reported Wednesday.
TSMC expects to receive $7 billion to $8 billion in tax credits under the CHIPS Act, in addition to $6 billion to $7 billion in grants for its Arizona plants, according to the WSJ, citing people familiar with the matter.
TSMC is investing more than $40 billion in building two fabs in north Phoenix, marking one of the largest foreign direct investments in the state and U.S. history. It plans to employ more than 4,500 workers at its Arizona campus where it will produce 3-and-4 nanometer chips, the Phoenix Business Journal previously reported.
TSMC has expressed concern about CHIPS Act subsidy criteria, including rules that would require the company to share some profits with the U.S. government if returns exceed projections. The company is concerned that economics of its Arizona project may not pencil out if profits are capped by the government, according to the WSJ.
What happened with that chip law the congress passed awhile ago?
It went into hiring trannies for ESG and DIE initiatives.
I’m sorry I asked.
https://www.semiconductor-digest.com/water-supply-challenges-for-the-semiconductor-industry
What would you cal this. Some sort of ransom? Chicoms attack and we get no chips at all.
Yeah, let’s build a highly water dependent factory in the desert. Brilliant.
Pay it. We don’t get chips from Ukraine.
“TSMC withdrew approximately 51 Mg/day in 2020i (197 Ml/day or 170,000 US households). Usage is increasing steadily, but they have an admirably high recycle rate, averaging over 85% from 2016 to 2020.”
TSMC promising 90%+ recycle rate for Arizona, so really not that big a deal, except to the whinging eco-libs who hate modernity.
How about investing that money into Texas Instruments and let them expand US chip production to a new level?
Ironically, this is exactly how China promotes its semiconductor sector
Heh, too much is never enough. Despite the obvious unfairness of such subsidies and the HORRIBLE track record of same, I would be supportive of these kinds of subsidies IF, and it is a BIG IF, the US could be assured that in the event of a Taiwan invasion, TSMCs’ facilities in Taiwan could AND WOULD be rapidly disabled, eg; sabotaged.
I know some in the toilet-seats of power have considered this type of operation, but it’s intensely problematic. Here we have the most espionage and kickback-driven administration in US history, with elements in various branches of government literally competing with each other to see how much proprietary technology can be sold to the CCP for .001 cents on the dollar, coupled with the intense disinterest in policing any such activity. There are thousands of mid-high level bureaucrats who could be bought off for under $5 million each literally with their sign out, like Linus in an old Peanuts cartoon “Psychiatric Help — 5ยข”
CCP gets TSMC and we have a ten year quantum leap in Chinese chip fab capability. Phenomenally dangerous. Manhattan-project level depth. It cannot be allowed to happen.
Taiwan Semiconductor Manufacturing Co. is seeking up to $15 billion in tax credits.
Biden say that’s how to pay your fair share.
INTELLECTUAL PROPERTY
TI does not have, and cannot buy rights to manufacture, the tech that TSMC has.
TSMC is extending a golden opportunity to onshore chip manufacturing capacity that we currently DO NOT have.
It’s a small price to pay to keep China from being able to starve us for chips.
I suppose the question is “Why Arizona?”.
Why not in, say, MO (which often has too much water, and would be harder for China to hit.)
Labor force demographics are better in AZ.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.