Comment by bitsage

I agree that the CHIPS Act was likely contingent on someone showing semiconductor manufacturing could actually be onshored. I’m not sure I buy that TSMC’s investment was contingent on an Act that was contingent on them investing in the first place. It’s not like TSMC was ever going to get a check to just reimburse themselves. Even now, their subsidies are only for new plans.

Intel, on the other hand, is a great example of a how a company dependent on the government funding for semiconductor manufacturing behaves. Heck, look at the Foxconn debacle; companies prefer incentives up front.

If you remember, TSMC had the immediate fear of losing ~15% of their revenue with the Huawei export ban. I wouldn’t be surprised if that influenced their decision to cozy up to America.