TSMC Alerts U.S. to Potential Huawei Sanctions Breach with AI Chip

Oct 22, 2024, 01:14 PM

TSMC, the world's largest contract chipmaker, is under investigation by the U.S. Commerce Department for potentially violating export controls by making AI or smartphone chips for China's Huawei Technologies. TSMC has stated that it is a law-abiding company, complies with all regulations, and has not supplied Huawei since mid-September 2020. The company notified U.S. officials after a TechInsights teardown of a Huawei device revealed one of its chips, the Ascend 910B, which resembles an AI chip manufactured by TSMC prior to sanctions. TSMC has challenged reports that it is under investigation, emphasizing that it proactively alerted U.S. authorities to a potential attempt by a customer to circumvent export controls. The investigation raises concerns over possible sanctions and the impact on major tech firms such as Apple and Nvidia that rely on TSMC's manufacturing capabilities.