The US will grant Taiwanese chip giant Taiwan Semiconductor Manufacturing Co (TSMC) up to $6.6 billion in funding to build several plants in Arizona, as announced on Friday.
US will finance TSMC with up to $6.6 billion
This deal, finalized before the new administration takes office, will spur $65 billion in private investment for three advanced semiconductor facilities.
Biden hails the funding
President Biden emphasized that this move addresses the US’s lack of domestic production of leading-edge chips, which are crucial for AI, quantum computing, and military tech. The first TSMC plant is set to open by early 2025, with the three plants expected to create 6,000 jobs and manufacture chips for products like 5G smartphones and autonomous vehicles.
The US will also provide up to $5 billion in proposed loans for TSMC's Arizona operations.
