Generally, it wants each country to produce chips of its own brands within its borders and gives various incentives for this. Still, giants like TSMC have achieved a certain standard in their existing facilities and manufacturing in the USA will be costly.What if chip production moves to the USA?
It is known that the USA has prepared an incentive package of $ 54 billion to encourage chip production in the country, and giants such as TSMC have invested tens of billions of dollars and started the construction of the facility. Already the first customers are ready.
However, manufacturing in the USA, where labor is more expensive, is not advantageous for the consumer. For example, the iPhone 14 Plus costs $527 to manufacture, and 54 percent of that is for semiconductor components. The production cost of the Apple A15 Bionic alone is $81. Moreover, even though Apple made the design.
In the briefing presented to TSMC investors, he states that the chip production they will make in the USA will cost much more than they do in Taiwan. In other words, the Apple A15 Bionic will be much higher than $ 80 with this account. Since TSMC’s biggest customer is Apple, increasing costs, including the Apple M series, will negatively affect the price of related Apple products. Increasing prices in the consumer market, which is already going through hard times economically, can undermine sales.
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