A Deep Dive in How TSMC Won Its Place in Global Semiconductor Industry: Why Trump’s Accusation Against Taiwan’s Semiconductor Industry Misses the Point

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There’s a well-known Chinese saying: “欲加之罪, 何患無辭,” which translates to, “If you want to accuse someone of a wrongdoing, there’s no shortage of excuses.” This sentiment seems to describe President Donald Trump’s recent accusations, claiming that Taiwan has “stolen” semiconductor business from the U.S.

If Trump’s purpose for that statement is to get chips produced in America, TSMC is already doing it, and accelerating their progress to have advanced chips produced in Arizona.

However, if we step back and analyze the situation, Taiwan’s TSMC (Taiwan Semiconductor Manufacturing Company) should simply respond with: "If the U.S. wants Intel to grab orders from companies like Nvidia, AMD, and Qualcomm, then so be it." In reality, many companies that initially turned to Samsung for semiconductor manufacturing eventually returned to TSMC. Despite TSMC’s higher service fees, companies found its technology and reliability unmatched. Perhaps President Trump should ask these companies why they returned to TSMC, even Intel why it also outsources chips to TSMC.

In this article, I’ll explore insights from TSMC founder Morris Chang’s memoir and Hong-wen Lin’s 晶片島上的光芒 to show that TSMC did not “steal” Intel’s business. Instead, Intel’s decline can be attributed to its own failure to advance its manufacturing capabilities, allowing competitors to gain ground. Stay with me to understand why this is not about “stealing,” but about evolution in a competitive, global industry.

Read our analysis here: https://techsoda.substack.com/p/a-deep-dive-in-how-tsmc-won-its-place