Did Taiwan Semiconductor Just Say "Checkmate" to Intel?
Taiwan Semiconductor just doubled down on its investment in U.S. manufacturing.
During President Biden's tenure in the Oval Office, his administration made it a point to boost investment in domestic manufacturing. One of the administration's accomplishments came in 2022, when Biden signed the CHIPS and Science Act -- a law that seeks to invest $280 billion into research and development and semiconductor manufacturing here in the U.S.
Over the last couple of years, Intel emerged as one of the biggest beneficiaries of CHIPS Act funding. Given rising investment in artificial intelligence (AI) infrastructure -- particularly in data centers and chipware -- I previously predicted that Intel could be a big-time winner under the new Trump administration -- which, like his predecessor, is focused on enhancing domestic manufacturing investments.
However, a recent announcement from Taiwan Semiconductor Manufacturing (NYSE: TSM) is making me reconsider my cautious optimism around Intel.
