Taiwan Semiconductor Manufacturing Co., Ltd.The world's largest advanced chipmaker shut down some chip-making machinery and evacuated employees after the strongest earthquake to hit its home island. 25 years.
TSMC, major contract chip manufacturer Apple. and Nvidia Inc.said it was moving staff out of certain areas and assessing the impact of the disaster. riot A magnitude 7.4 was observed off the east coast.small local rival United Microelectronics Company The company also suspended machinery at some factories and evacuated some facilities in its Hsinchu and Tainan bases, the company said in a statement.
From TSMC to Taiwanese companies ASE Technology Holding Co., Ltd. The majority of semiconductors in devices from iPhones to cars are manufactured and assembled in factories that are sensitive to even the slightest shakes. A single vibration can destroy an entire batch of precision-manufactured semiconductors. TSMC stock was down about 1.5% in early trading, while UMC was down less than 1%.
„TSMC's safety systems are operating normally. To ensure the safety of our employees, some factories have been evacuated in accordance with company procedures,“ the company said in a statement. „We are currently confirming the details of the impact.“
Taiwan is tending to Earthquakes occur because the two plates are near convergence. But it is also the source of an estimated 80% to 90% of the highest-grade chips needed for advanced applications such as smartphones and AI.
Industry executives and government officials have long warned of the dangers of concentrating the world's advanced semiconductor production on the island, which, apart from natural disasters, is seen as a potential military flashpoint. It has become especially evident during the corona era, which has exacerbated global shortages of critical components.
U.S. officials are encouraging U.S. and Taiwanese companies, including TSMC, to diversify geographically, mindful of threats to Taiwan from the mainland Chinese government, which views the island as a renegade province.
However, it will take some time for the TSMC expansion project currently underway in Japan and the United States to get into full swing. Micron Technology Co., Ltd. It still maintains a major business on the island.