TSMC alerts US after Huawei chip discovery raises export concerns
- TSMC notified the U.S. about a chip found in Huawei's Ascend 910B following a report by TechInsights.
- The chip discovery raised concerns as TSMC had ceased supplying chips to Huawei since September 2020 due to U.S. export rules.
- The situation highlights ongoing tensions and scrutiny regarding U.S.-China tech relations, emphasizing TSMC's compliance and proactive measures.
Taiwan Semiconductor Manufacturing Company (TSMC) informed the U.S. Commerce Department about its chip found in a Huawei product, identified by TechInsights. This raised concerns about potential violations of U.S. export rules, particularly since the chip was in Huawei's Ascend 910B, one of China's most advanced AI chips. TSMC proactively reached out to the Commerce Department after being alerted by TechInsights before the findings were made public, ensuring compliance with regulations to maintain their reputation as a law-abiding company. The company has not supplied chips to Huawei since September 2020 when U.S. export controls were enacted. Huawei also confirmed they have not procured chips from TSMC since then. This situation happens alongside a growing demand for AI chips, especially as major companies like Nvidia experience stock surges. While TSMC continues to face scrutiny from the Commerce Department regarding its export practices, its strong performance and technological advancements lead to bullish forecasts. Analysts remain optimistic about the chip market's growth, driven by AI, despite potential disruptions related to ongoing investigations.