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TSMC Warns: AI Chips May Still Reach China Despite Restrictions

Source link : https://news7.asia/technology/tsmc-warns-ai-chips-may-still-reach-china-despite-restrictions/

Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest contract chipmaker, has issued a stark warning about the limits of its ability to control the flow of advanced AI chips to China. In a recent statement, TSMC acknowledged that despite stringent export restrictions and supply chain controls, it cannot fully prevent Chinese firms from obtaining cutting-edge artificial intelligence processors. This development underscores the growing challenges faced by semiconductor companies amid escalating geopolitical tensions and the global race for AI technology dominance.

TSMC acknowledges challenges in restricting advanced AI chip exports to China

TSMC, the world’s leading semiconductor manufacturer, has openly admitted the difficulties it faces in completely preventing the export of its most advanced AI chips to China. Despite tightening US-led restrictions aimed at curbing China’s access to cutting-edge technology, TSMC highlights that the nature of global supply chains and the complexity of chip production make it challenging to enforce a full embargo. This stance underscores the inherent limitations of export controls when dealing with countries deeply integrated in the semiconductor ecosystem.

Key obstacles TSMC faces include:

  • Complex manufacturing networks that often involve multiple countries and subcontractors.
  • Technological spillover risks where earlier generation chips can still contribute to AI development.
  • Regulatory ambiguities concerning…

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Author : William Green

Publish date : 2025-07-30 23:01:00

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