@JC888：China has painted itself into a semiconductor corner https://www.japantimes.co.jp/opinion/2022/08/15/commentary/world-commentary/china-semiconductor-woes/ Precursor – please read linked-article and form your own opinion first ok. Thanks. What do you think of this article ? For a start, I think the title is a little “misleading”, in that the issues discussed does not apply to China per se. It is largely a universal theme that is applicable to US as well, in their latest “desperate” bid to re-exert itself in this Industry sector all of a sudden, out of the blue. Will the US succeed in its endeavour ? China had a 20 years head-start and still fails to attain its goal – a rarity because most of the time when China decides its end-goal (at least it managed so far), it will try to achieve it by hook or by crook. Afterall, China is not lacking in resource (financial prowess) and certainly not talents. So why it still fails to deliver what is seemingly straight forward. Would the US be a lot smarter in attempting to achieve that which its counterpart has failed ? Will US take a deep dive to study in details all the different “failed”attempts the Chinese had embarked on OR will it just jump in “hastily” and tries to figure out when it hits the ground running ? The former option would be far more prudent and methodical because it will give some sort of a structure / framework to setup, stage and grow this industry domestically. It owns the Intellectual Property (IP) to most of the Semiconductors technology already right ? That in itself is almost a step in the right direction. For a start, think it is not as straight forward an Industry to be involved in. That is why for the longest time, US has no interest, none at all to wanna be a lead in this Industry. Things only ever started falling into places during the time of ex-president Mr T; where with a wave of his pen, the ban on Chinese’s access to semi-conductor chips was enacted. Still recall last, last year this time, TMSC was frantically working round the clock to fulfil Huawei last chip order; so much so that TSMC stopped contract-production for other customers and focus on delivering Huawei’s order by end Sep (?) when the restrictions kicked in officially. Huawei even chartered a cargo plane to ferry all the chips out just before the midnight deadline. It was that dramatic. From that day onwards, things were never the same – neither was the relationship between the 2 titans. Think the writer has rightly nailed and addressed the crux of the problem. That is the need for closed-collaboration between the chips maker and the customer (company). This intricate and delicate industry and its products is beyond the realm and scope of the Academia, it really centres around building an ecosystem of complex and integrate circuits. When in the right environment combined with the right manufacturing operations – magic happens. Only then perhaps the sweet smell of success may permeate and fill the air a bit. Who will stand to benefit the most from the CHIP and Science bill initiatives (if it could be called as such) signed by President Biden on 9 Aug 2022 ? Will it be $Intel(INTC)$, $GLOBALFOUNDRIES Inc.(GFS)$, $NVIDIA Corp(NVDA)$, $Texas Instruments(TXN)$, $Broadcom(AVGO)$or others? What do you think ? Share your thoughts in below Comments section ? Love to hear you. Like this article ?? Tks. Matching song ? Let’s Work Together by Canned Heat. Dunno ? YouTube it. I like it… hope you too. @TigerStars @CaptainTiger @MillionaireTiger @Daily_Discussion Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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