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TSMC has Reportedly Halted new Chip orders from Huawei

1 x cover TSMC

 

Patently Apple noted in a report last week that China would take forceful countermeasures to protect its own legitimate rights and if the US moves forward with the plan to bar essential suppliers of chips, including Taiwan-based TSMC, from selling chips to Huawei there would be consequences to US tech companies including Apple, Cisco, Qualcomm and others.

 

Today we're learning that TSMC (Taiwan Semiconductor Manufacturing Co Ltd) has stopped new orders from Huawei Technologies in response to Washington’s move aimed at further limiting chip supplies to the Chinese company. Reuters source is the Nikkei Asian Review who sites multiple sources.

 

The orders which TSMC took before the new ban and those already in production are not impacted and could continue to proceed if those chips could be shipped before mid-September, according to the report.

 

TSMC is on record stating that they do not disclose order details and that the Nikkei report was purely a market rumor. While the Nikkei is known for stirring up controversy for the sake of clicks, in the bigger picture, the issue of halting various chip orders to Huawei is not rumor.

 

Apple's CEO Tim Cook has been a goodwill ambassador of sorts promoting good relations between the U.S. and China for years. Last June Apple's CEO was named the new Chairman of the Advisory Board of the School of Economics in Beijing, China. It will be most interesting to see whether Apple will be able to skirt China's wrath to come or not. Was Cook's goodwill worth it over the years? Only time will tell.

 

10.3 - Patently Extra News

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