Taiwan Semiconductor Manufacturing Co. (TSMC), the world’s largest contract chipmaker, plans to suspend production of advanced artificial intelligence (AI) chips for Chinese clients by 2024, according to a report by Nikkei Asia. This move comes amid escalating tensions between the US and China over advanced technology. The US has imposed export controls to restrict China’s access to cutting-edge AI chips, citing national security concerns. TSMC’s decision aligns with the US restrictions, which aim to prevent China from obtaining high-end chips that could be used for military purposes or human rights violations. The report suggests that TSMC will continue producing less advanced chips for Chinese clients, but the suspension of AI chip production could significantly impact China’s AI ambitions and its ability to develop advanced AI systems. This development highlights the growing technological rivalry between the US and China, with both nations vying for dominance in the AI field.
Source: https://www.businessinsider.com/tsmc-suspend-ai-chip-production-china-us-2024-11