Top-three Semiconductor Spenders Heating up with CHIPS Act Funds
Author: Louis Tran
Semiconductor equipment order activity increased to 80 °F last week. Memory continued to lead the upturn due to its exposure to AI.
The US advanced-packaging and leading-edge foundry market is heating up long term as CHIPS Act distribution is announced. After receiving $8.5 billion in direct funding from the US government announcement, Intel restructured its foundry financial reporting last week to prepare for a serious launch into the foundry business. TSMC is also gearing up for competition as they just announced a third fab project in the US with a $6.6 billion proposed direct funding from the US government. This brings TSMC’s total capex in the US from $40 billion to $65 billion.
