TSMC, the world's largest chipmaker, has surpassed Tencent and Alibaba to become the most valuable company in Asia.
Chipmaker TSMC's market capitalization has soared as supply chains have been severely impacted by the COVID-19 pandemic and demand in industries such as automobiles and data centers has surged across the globe as the world faces a shortage of semiconductors.
TSMC has a market capitalization of about $573.1 billion, Tencent has a market capitalization of about HK$4.04 trillion (about $518.6 billion), and Alibaba has a market capitalization of about $436.4 billion.
This news is actually not good news for TSMC.
Wood shows in the forest, and the wind will destroy it.
The elderly Zhang Zhongmou beat his competitors to the ground again and again. He even drove Zhang Rujing out of SMIC and squeezed Liang Mengsong out of TSMC.
If you know how cruel Zhang Zhongmou was to Zhang Rujing, you will most likely understand that SMIC will surpass TSMC in the future.
In order to solve the problem of industrial hollowing out and ensure the safety of the core industrial chain in the United States, the United States forced Samsung and TSMC to relocate their factories to the United States.
Since the Trump era, it has been mentioning the return of industry. Biden has inherited this view, even threatening small countries to join the camp of raising tax rates.
Many people don't realize what this lowest tax rate means.
It means that the situation in which the boss ate meat and drank soup in the past is gone, and the boss will also take the soup back.
The problem is, the little brother is ostensibly handed back, what about the core cohesion of the boss?
For TSMC, it can only obediently follow to the United States to build a factory (Samsung also went).
There are two ends to building a factory.
One is what Trump calls the eighth wonder of the world.
Gou's Foxconn U.S. factory has gained momentum in 2019.
Not to mention that it has not yet been put into production, the scale has shrunk several times.
The second is the Fuyao glass model.
Asian corporate culture, and the American mindset, are naturally opposed. It is difficult to do a good job, and the American factory of Fuyao Glass has barely been able to get up, but the effect is not very good.
The return of industries in the United States is also selective.
Why not let GM, Ford, Tesla's factories in China move back?
Because TSMC masters the core technology of the United States. I don't feel safe to put it outside.
Whether it is upstream suppliers or downstream customers, the United States has a large group.
Once TSMC's plant in the United States is successful, it will eventually transfer its main production capacity to the United States. When TSMC's core production capacity is moved away, what else is on the island?