Sep 23, 2024 12:47 AM IST
TSMC-SAMSUNG/EMIRATES (UPDATE 1):UPDATE 1-TSMC, Samsung mull building big chip factories in UAE, WSJ reports
Sept 22 – Two of the world’s largest chipmakers, TSMC and Samsung Electronics, have discussed building potential chip projects in the United Arab Emirates in coming years which could be worth more than $100 billion, the Wall Street Journal reported on Sunday.
Top executives at TSMC have visited the UAE recently and talked about a plant complex on par with some of the company’s largest and most advanced facilities in Taiwan, WSJ said citing people familiar with the interactions.
South Korea-based Samsung Electronics, the maker of smartphones, TVs and memory chips, is also considering major new chip-making operations in the country in the years ahead, the paper said citing unnamed sources.
TSMC and Samsung did not immediately respond to a Reuters request for comment.
Senior figures at Samsung Electronics visited UAE recently and discussed the idea, WSJ reported, adding that the discussions were still in the early phases and may face technical and other hurdles.
Under initial terms being discussed, the projects would be funded by the UAE, with a central role for Abu Dhabi-based sovereign development vehicle Mubadala, according to WSJ.
The paper added that the broader goal would be to increase global chip production and help bring prices down without hurting chip-makers’ profitability.
As tech deals in the region speed up, Washington has become increasingly concerned about the UAE and other Middle Eastern countries becoming a conduit for advanced U.S. AI technology reaching China.
This article was generated from an automated news agency feed without modifications to text.
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