From Silicon Valley to East Asia: The Evolution of Chip Manufacturing

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From Silicon Valley to East Asia: The Evolution of Chip Manufacturing

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Chips were invented in the U.S., but over time East Asia emerged as a manufacturing hub, largely because of government incentives, including subsidies. This allowed Washington to develop business ties and strategic alliances in the region vulnerable to Russian influence during the Cold War.

It's just as useful now, in the face of China’s growing influence in the Asia Pacific. The race is on to make the best and most efficient chips at scale and the smaller, the better as these are more powerful. But, getting there is not easy even for the top chip-makers.

In 2022, Samsung became the first company to start mass producing three-nanometre chips at scale. Later that year, Taiwan Semiconductor Manufacturing Company, the world's biggest chip-maker followed.

China has made chip production a national priority. It’s nowhere near being a global leader, but has been catching up quickly in the past decade, especially in its chip design capabilities

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