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TSMC reportedly stops taking orders from Huawei after new U.S. export controls
Taiwanese Semiconductor Manufacturing Co., the world's largest contract semiconductor maker, has stopped taking new orders from Huawei Technologies, one of its largest customers, according to the Nikkei Asian Review. The report said the decision was made to comply with new United States export controls, announced last Friday, that are meant to make it more difficult for Huawei to obtain chips produced using U.S. technology, including manufacturing equipment.
Huawei hits back at US as TSMC cuts off chip orders
Huawei rotating chairman Guo Ping has hit back at the US government's stricter export controls intended to stop the Chinese tech giant from obtaining essential chips, following reports that its biggest supplier has already cut it off. "We still haven't figured it out," Guo said on stage at Huawei's annual analyst summit. "The US government still persists in attacking Huawei, but what will that bring to the world?"
"In its relentless pursuit to tighten its stranglehold on our company, the US government has decided to proceed and completely ignore the concerns of many companies and industry associations," Huawei adds in an official statement. "This decision was arbitrary and pernicious, and threatens to undermine the entire industry worldwide. This new rule will impact the expansion, maintenance, and continuous operations of networks worth hundreds of billions of dollars that we have rolled out in more than 170 countries."
"We expect that our business will inevitably be affected," Huawei's statement continues. "We will try all we can to seek a solution."
See also: Huawei Braces for Latest U.S. Hit, but Some Say Loopholes Remain
TSMC Accepts US Kill Order & Suspends Future Huawei Contracts
Previously: U.S. Attempting to Restrict TSMC Sales to Huawei
Washington in Talks with Chipmakers about Building U.S. Factories
TSMC Will Build a $12 Billion "5nm" Fab in Arizona
(Score: 4, Insightful) by DrkShadow on Tuesday May 19 2020, @01:55AM (7 children)
It's crazy... this whole thing.
China considers Taiwan a property of its own, its companies shall be subject to Chinese law. 1. You will not ignore Chinese companies. 2. You will stop producing chips for American companies. 3. Here is our army that will ensure your factory does 1 and 2.
Now the US is without AMD chips, without nVidia chips, without Xilinx chips, without chips for all of the little gadgets, media players, game consoles, etc. I think Intel chips come from Malaysia (or they used to), but don't use TSMC or they'd be at 5nm.
Oh god oh god oh god...
(Score: 2) by legont on Tuesday May 19 2020, @03:32AM (5 children)
All of it on an island 245 miles long with 23 million people.
"Wealth is the relentless enemy of understanding" - John Kenneth Galbraith.
(Score: 3, Interesting) by HiThere on Tuesday May 19 2020, @03:34AM (4 children)
If Taiwan were less strategically vulnerable, this would make more sense. As it is....perhaps TSMC should fork into two companies, one to deal with China and one to deal with the US under officially separate ownership.
Javascript is what you use to allow unknown third parties to run software you have no idea about on your computer.
(Score: 1, Troll) by DannyB on Tuesday May 19 2020, @07:04PM (1 child)
Maybe China will simply "annex" Taiwan.
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(Score: 4, Touché) by HiThere on Tuesday May 19 2020, @08:42PM
They've been working on that for ... well, a century now.
Javascript is what you use to allow unknown third parties to run software you have no idea about on your computer.
(Score: 2) by legont on Wednesday May 20 2020, @01:51AM (1 child)
Do you believe it would protect the management from being arrested similar to Huawei's manager by Canada?
"Wealth is the relentless enemy of understanding" - John Kenneth Galbraith.
(Score: 2) by HiThere on Wednesday May 20 2020, @03:05AM
There are probably ways to do it. Note that Huawei isn't a separate company when it deals with the US and with China. (This would be difficult for something incorporated within China.)
Javascript is what you use to allow unknown third parties to run software you have no idea about on your computer.
(Score: 0) by Anonymous Coward on Tuesday May 19 2020, @08:25PM
This is something that a lot of people don't realize. Many of these wafers are actually produced in another country, then shipped to a country for packaging. Notably Intel chips were fabbed in Costa Rica and the US, but many were then packaged in Malaysia, leading to Costa Rica or Malaysia on the packaging but the actual chips coming from either Costa Rica or the US. AMD had both packaging and fabrication in Germany for some/all of the K10 generation, then moved to TSMC dies which were assembled somewhere else (Was it malaysia, germany or somewhere else?)
Point being the labels often don't tell you much about where the parts are actually manufactured/sourced from without having insider knowledge and a papertrail from somewhere else.