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Comment by mjh2539

4 days ago

This is too simplistic.

The ROC has not had any formal military alliance with the United States since 1979. TSMC was not founded until 1987, didn't start producing chips until 1993. It was not even publicly traded until 1994 (and that was only on the Taiwanese stock exchange; it was listed on the NYSE in 1997).

The reason the PRC hasn't done it is because it would make no sense politically or economically. They have a lot more to lose and a lot less to gain than Russia did in 2014 (Sevastopol was/is seen as integral to the Russian navy...there is no parallel with Taiwan as the PRC has plenty of excellent ports on the mainland).

And the continued existence of Taiwan gives the PRC a convenient excuse to sabre-rattle.

No formal alliance, but in reality, if you look up the proportion of Taiwanese-made chips used by the US military in... everything - aircraft, missiles ,tanks, planes, everything - invading Taiwan would probably cripple the US military's production capabilities so it's probably kicking off a proper war with USA.

  • It would be a headache but it wouldn't be the end of the world. At the end of the day there are other fabrication plants to manufacture microprocessors. And it's not as if China invading Taiwan would suddenly make all of the existing supply stop working.