TSMC and ASML can remotely disable chip machines if China attacks Taiwan
Both companies reportedly have contingency plans in an event of a war between China and Taiwan.
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TSMC facility. File photo.
TSMC, the world's biggest chipmaker, reportedly has contingency plans in place with key supplier ASML in the event of a war between China and Taiwan.
Sources familiar with the matter say ASML can remotely disable its extreme ultraviolet machines (EUVs) – used to manufacture advanced microchips – in TSMC's factories. ASML also conducted simulations on a possible conflict to better assess the risks.
The kill switch strategy was hinted at by TSMC Chairman Mark Liu last year when he told CNN that "nobody can control TSMC by force" and that any invasion will "render TSMC's factory non-operable".
Over 90% of the world's advanced chips are made in Taiwan, which means the stakes for the two companies, the US, Taiwan, and the overall tech industry are high if a war breaks out between China and Taiwan.
Source: Bloomberg, South China Morning Post
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