Unable to get orders from China, TSMC s 7nm chips were replaced, and the situation in foreign media

Mondo Technology Updated on 2024-01-31

With the escalation of Sino-US friction and the frequent bans of Chinese technology companies such as Huawei by the United States, the global chip industry chain is facing unprecedented changes. TSMC, as the world's leading chip foundry, has also been greatly affected by this great change. Over the years, TSMC has successfully attracted orders from many chip giants such as Apple, Qualcomm, and Intel by relying on advanced chip foundry technology, and has firmly established itself as a leader in the foundry industry. However, with the United States ** to Huawei**, TSMC has lost an important customer, and the Chinese market has also brought a sharp decline in its order volume, which is undoubtedly a huge change for TSMC.

1. The decline in order volume and the intensification of market competition

With the global economic downturn and declining consumer demand, the demand for many electronic products is also decreasing, which directly affects the demand of the chip foundry market. At the same time, the rise of domestic technology companies such as SMIC has brought more fierce competition to TSMC. As a result, TSMC had to reduce its 7nm process orders** to maintain market share and profitability.

2. Challenges brought about by technological progress and market uncertainty

As chip process technology continues to shrink, the difficulty and cost of manufacturing are gradually increasing. At the same time, the speed of electronic product replacement is accelerating, and the change of market demand is also more rapid and uncertain. These factors have brought tremendous pressure to the semiconductor industry, and TSMC's downgrade of 7nm process orders in this context is to temporarily ease market pressure, but it is not a long-term solution.

1. Pay attention to technological innovation and cost control

In order to have an advantage in the future competition, TSMC must continue to work technological innovation and cost control. Through continuous research and improvement of chip process technology, reduce production costs, improve chip performance and quality, so as to meet customer needs and maintain market competitiveness.

2. Actively expand the Chinese mainland market

As the world's largest consumer electronics market, the Chinese mainland market is of great strategic significance to TSMC. Actively expanding the Chinese mainland market, expanding the mainland customer base, and reducing dependence on the US market will help TSMC maintain stability in the uncertainty of the future market.

3. Strengthen cooperation with Chinese science and technology enterprises

Cooperation with Chinese technology companies is an effective strategy for TSMC. By partnering with Chinese technology companies, you can better understand the needs and trends of the Chinese market, while also working together to address technological challenges and market changes.

In the face of the rapid changes in the global chip industry and the intensification of market competition, TSMC needs to actively respond to challenges, continue to carry out technological innovation and cost control, while actively expanding the Chinese mainland market and strengthening cooperation with Chinese technology companies. Only by continuously improving its technical strength, meeting customer needs, and maintaining a leading position in the market competition can TSMC achieve better results in future development. As a global chip foundry giant, TSMC should also recognize the importance of the Chinese market and work together with Chinese technology companies to jointly promote the development of China's chip industry and make greater contributions to global technology development. By adjusting its business strategy and strengthening cooperation, TSMC is expected to stay ahead of the competition in the future and continue to drive the growth of the global semiconductor industry.

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