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by tosers4
2189 days ago
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It's also about national defense, not just economy. Republic of China is a big target of People's Republic of China. Sure, there shouldn't be a war, but in the worst case scenario, USA is kinda screwed by having all their chip manufacturing there. Notice that the new TSMC factory is with big emphasis on military contracts. |
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Nobody should have any illusion: "in the worst case scenario" this "where" any chips are manufactured will be simply totally irrelevant. It's obviously a wrong model to plan for anything. The realistic model is the scenario which is not the "worst case." And then, the question is just is the "aid" reasonable or is it better compared to other existing or possible market forces.
Why giving away money "to spur the construction of chip factories in America" when
1) the U.S. is anyway an immensely big customer and simply deciding on how it buys what it needs can already influence the markets
2) the existing companies already have "chip factories" in America.