this post was submitted on 09 Apr 2025
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Exclusive: TSMC could face $1 billion or more fine from US probe, sources say (www.reuters.com)
submitted 1 week ago by IndustryStandard@lemmy.world to c/technology@lemmy.world
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April 8 (Reuters) - Taiwan Semiconductor Manufacturing (2330.TW) could face a penalty of $1 billion or more to settle a U.S. export control investigation over a chip it made that ended up inside a Huawei AI processor, according to two people familiar with the matter.

The U.S. Department of Commerce has been investigating the world's biggest contract chipmaker's work for China-based Sophgo, the sources said. The design company's TSMC-made chip matched one found in Huawei's high-end Ascend 910B artificial intelligence processor, according to the people, who requested anonymity because they were not authorized to speak publicly about the matter.

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[–] 0x0@lemmy.zip 4 points 1 week ago (2 children)

How is the US gonna fine a company from Taiwan?
I guess said company could always hike export prices to match the fine...

[–] Technoguyfication@sh.itjust.works 3 points 1 week ago (1 children)

They just built a massive chip fab outside Phoenix so there’s clearly some US-based division the government has jurisdiction over.

[–] 0x0@lemmy.zip 1 points 1 week ago

That's for the low-end stuff, but yeah.

[–] hamsterkill@lemmy.sdf.org 2 points 1 week ago

How is the US gonna fine a company from Taiwan?

They use US tech in their foundries, and thus are subject to export controls to make sure sanctioned entities (like Huawei) don't benefit from it.