By AspctStyle @Adobe Stock

Yang Jie and Yuka Hayashi of The Wall Street Journal report a setback in Biden’s favorite project to rebuild chip manufacturing in the U.S. They write:

Taiwanese chip maker TSMC said it expected to delay production at the second of two semiconductor plants it is building in Arizona, the latest setback for a $40 billion project at the core of Washington’s effort to rebuild U.S. chip manufacturing.

TSMC—the world’s leading contract manufacturer whose chips power Apple iPhones and Nvidia’s artificial-intelligence chips—also cast uncertainty on an earlier statement that the plant would produce an advanced type of chip.

The statements by TSMC Chairman Mark Liu at a news conference Thursday offered further evidence of challenges faced by the Arizona project, including a shortage of skilled workers and difficult negotiations over how much money the U.S. government will provide. […]

Wei named artificial intelligence as TSMC’s growth driver, saying most of the processors used for AI tasks currently come from the company’s factories. Within a few years, he said, AI-related revenue is expected to account for nearly one-fifth of TSMC’s total.

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