What's happened
Taiwan Semiconductor Manufacturing Company, the world's largest independent contract chip manufacturer, quickly resumed operations after a deadly earthquake hit Taiwan. The earthquake caused at least nine fatalities and over 1,000 injuries, but TSMC reported no significant damage to its facilities, including critical chip-making equipment. Within 10 hours of the earthquake, 70% of TSMC's chip-manufacturing equipment was recovered for production.
Why it matters
The earthquake in Taiwan, which disrupted TSMC's operations, is significant due to the company's crucial role in supplying advanced semiconductors to tech giants like Apple and Nvidia. The quick recovery of TSMC's operations minimizes potential disruptions to the global semiconductor supply chain and highlights the company's resilience in the face of natural disasters.
What the papers say
Business Insider UK highlights the vulnerability of TSMC's facilities to seismic activity and the potential impact on major customers like Apple and Nvidia. NY Post emphasizes the disruption across Asia's semiconductor supply chain and the need for careful measures to restore production. South China Morning Post and Nikkei Asia focus on TSMC's swift recovery and minimal damage to critical chip-making equipment.
How we got here
Taiwan Semiconductor Manufacturing Company plays a critical role in the global semiconductor supply chain, supplying advanced chips to major tech companies. The earthquake in Taiwan, the strongest in 25 years, caused disruptions to TSMC's operations but the company quickly resumed production with minimal damage to its facilities.
More on these topics
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Taiwan, officially the Republic of China, is a country in East Asia. Neighbouring countries include the People's Republic of China to the northwest, Japan to the northeast, and the Philippines to the south.
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Taiwan Semiconductor Manufacturing Company, Limited is a Taiwanese multinational semiconductor contract manufacturing and design company.
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Apple Inc. is an American multinational technology company headquartered in Cupertino, California, that designs, develops, and sells consumer electronics, computer software, and online services.
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Nvidia Corporation is an American multinational technology company incorporated in Delaware and based in Santa Clara, California.