Prime Highlights
- Nvidia CEO Jensen Huang calls TSMC “one of the greatest companies in history” and says buying its stock is “very smart.”
- TSMC is developing six new products for Nvidia, including advanced AI chips, highlighting their strong collaboration.
Key Facts
- TSMC shares have risen 6.5% so far this year, showing strong investor confidence.
- Nvidia is expanding its presence in Taiwan with the new “NVIDIA Constellation” office to accommodate its growing workforce.
Key Background
Nvidia CEO Jensen Huang has praised Taiwan Semiconductor Manufacturing Co. (TSMC) as “one of the greatest companies in the history of humanity,” calling anyone looking to invest in the chipmaker “very smart.” The remarks came during Huang’s visit to Taiwan, where he thanked TSMC for its work on Nvidia’s Rubin, the company’s next-generation AI chip platform.
Huang highlighted that TSMC is developing six new products for Nvidia, including a new central processing unit (CPU) and a general processing unit (GPU) designed for advanced AI computation. “We are working with chip companies, system vendors, and system makers all over Taiwan. Everybody is working so hard for us, and we need a lot of engineers to work alongside them,” he added.
The visit coincides with growing U.S. interest in acquiring stakes in tech companies receiving support under the CHIPS Act. The 2022 act, aimed at boosting semiconductor manufacturing in the U.S., has already allocated $6.6 billion to TSMC to help establish three advanced chip fabrication plants in Arizona.
While discussions continue about potential equity stakes in companies like Intel and Micron, a recent report clarified that the government has no immediate plans to acquire shares in firms expanding U.S. investments, including TSMC.
TSMC shares, the world’s largest contract chipmaker, have gone up 6.5% this year, showing investors’ confidence in the company’s growth and technology
Separately, Nvidia is expanding its footprint in Taiwan with the upcoming “NVIDIA Constellation” office to accommodate its growing workforce. Huang said construction plans are underway, with local government cooperation being finalized.
Nvidia asked some suppliers to pause making its H20 chips for China after Beijing raised security concerns. The company is working to fix the issue soon.
Huang’s comments highlight TSMC’s importance worldwide and show that Nvidia depends on the company for its advanced AI chips, reflecting confidence in both companies’ growth.
