If they were worth it you'd already have been buying them. With that being said, glad to hear a CEO say "we have to consider the resiliency of the supply chain" because JIT as a manufacturing philosophy is revealing itself to be what it always was: exceedingly fragile, barely adequate when everything is working perfectly and subject to massive, multiplicative disruptions when everything is not working perfectly.
AMD CEO sees chips from TSMC's US plant costing 5%-20% more
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Re: AMD CEO sees chips from TSMC's US plant costing 5%-20% more
#92Earlier quoted context omitted.
Why is the government bailing them out then? Is that just good money thrown after bad? Regardless, it seems like the company leadership should be gutted (the same could be said of Boeing) and the company given over to a new technically-grounded leadership team.
>Why is the government bailing them out then? There wasn't any bailout on them, what do you mean?
???
google://Intel chips act billions
Re: AMD CEO sees chips from TSMC's US plant costing 5%-20% more
#93Your rent is now 20% higher but it's worth it because the landlord is an American.
You don't import apartments or even the materials used to manufacture them. Arguing tariffs drive rent prices rather than the cost of luxury consumption and corporate capex any more than the progressive income tax does is absurd.
Re: AMD CEO sees chips from TSMC's US plant costing 5%-20% more
#94Earlier quoted context omitted.
> used to be a crown-jewel of US tech I feel like x86 itself is kinda legacy tech. So while AMD has made advancements, they're somewhat in the same boat as Intel. It seems like NVIDIA and Micron are the real "crown jewels" of US tech
ISA is irrelevant It's like saying that programming language syntax/keywords are better than the other. Everything is about compiler, lib, runtime, etc. https://chipsandcheese.com/p/arm-or-x86-isa-doesnt-matter Also some people say that RISC-V is the way to go
And yet Itanium flopped.
Re: AMD CEO sees chips from TSMC's US plant costing 5%-20% more
#95Earlier quoted context omitted.
Why is the government bailing them out then? Is that just good money thrown after bad? Regardless, it seems like the company leadership should be gutted (the same could be said of Boeing) and the company given over to a new technically-grounded leadership team.
The inability to make SOTA silicon chips domestically would be catastrophic in a event of a war in the east. TSMC is making fabs in the US, but they are not SOTA fabs. Those are kept in Taiwan.
A lot of the more complicated equipment in TSMC fabs (e.g. EUV equipment) is from Europe.
Building a fab is no mean feat and loss of infra is a major blow, but it's certainly not impossible to build these fabs in the West, just not economical. You are not starting from scratch.
Re: AMD CEO sees chips from TSMC's US plant costing 5%-20% more
#96Earlier quoted context omitted.
>Why is the government bailing them out then? There wasn't any bailout on them, what do you mean?
??? google://Intel chips act billions
I believe that was a reaction to the global chip shortage during COVID. An investment in domestic chip production capabilities not a bailout for bad moves.
Intel was looking bad but not the dire state they’re in now.
Re: AMD CEO sees chips from TSMC's US plant costing 5%-20% more
#97This is why tariffs matter. Despite the US having much higher wages, and likely property and infrastructure costs, manufacturing is only 5-20% more for these high tech products. Corporations outsourced not because they couldn't compete, but because why leave 10% on the table when we can reward the executives with that cash instead of the labor?
Tariffs don't work to bring manufacturing back home if they change every 2 weeks and are sure to disappear in 4 years
You need to have reasonable certainty that your factory is going to be profitable on a 20+ year horizon to commit into building a production line.
I don't understand how MAGAs don't get that.
Re: AMD CEO sees chips from TSMC's US plant costing 5%-20% more
#98Earlier quoted context omitted.
> no reason Intel couldn’t do the same. Intel is doing the same. IDK if they are working on new fabs at this point, but the last few generations of chips from intel have used TSMC. My expectation is that Intel might still run fabs, but they'll be mostly contracting them out to people who want cheap ASICs and 10 year old fab tech.
How does this scale? TSMC can't literally be the only fab in the world...
Samsung is still in the game at the STOA level, but a distant second. But maybe it’s the nature of the industry that one winner takes all for a number of years at the top end. After all, Intel was the only game in town for decades.
Re: AMD CEO sees chips from TSMC's US plant costing 5%-20% more
#995-20% more expensive? That's way cheaper than I expected. That's pretty good, especially for 4nm.
Even 5% more expensive means 80% of people buy the taiwan version for $475 instead of $500. 20% more expensive and 99.9% of people buy the $500 one instead of the $600 one. Never make the mistake of falling for people's virtue signalling and pay attention instead to how they actually apply those virtues (spoiler: saving money is the #1 acted upon virtue, being far stronger than any other).
Virtue signaling? What are you talking about. You seem to have an axe to grind.
Cost increase in a single part doesn’t necessarily mean the cost of the device needs to go up. If a CPU costs 120$ instead of 100$ like that of a competing device 300$ device you can always sell yours for 310$ and make less margins. Things have to get subsidized in the short term if we are going to get domestic production up.
Re: AMD CEO sees chips from TSMC's US plant costing 5%-20% more
#100The US cost of stationing forces, patrols, and readiness in the pacific is probably 20-40 billion USD per year. cut that huge subsidy and Taiwan ceases to exist within several years. 5%? we should really evaluate if we need a long term dependency on taiwan. It would probably be better to evacuate them all.
There's a lot more to the American defensive posture in the Pacific than threatening PRC with MAD if they invade Taiwan.
American defensive posture can center around Hawaii and mainland USA will be just fine.