The US is going to lose its chip competition

by admin, Wednesday, 22 June 2022 (2 months ago)

Former Google CEO Eric Schmidt wrote in an opinion article published Monday that for national security reasons, the United States should do more to attract chip makers overseas and set up factories locally. Schmidt points out that China is accelerating investment in technology and chip manufacturing capabilities. Urges the United States to reduce its dependence on Taiwan and South Korea for more advanced semiconductors; and to increase its own production capacity. The former Google CEO believes that the United States should encourage chip foundry giants to work with US chip design companies. Companies like TSMC and Samsung Electronics will need to set up more plants in the United States.

Former CEO of Google

International relations scholar Graham Allison and Schmidt published an article on the subject. They call on the United States to reduce its dependence on foreign chip manufacturing. They argue that this would jeopardize US national security. In their paper, they set out policy recommendations to improve the competitiveness of chip manufacturing in the US.

“If China develops a lasting advantage in the semiconductor supply chain, it will achieve key technology innovations.” The article further argues that the US may not be able to adapt to this technology. “The United States can not afford to get out of this predicament.”

Former Google CEO: US needs to do more to stay ahead

Currently, both TSMC and Samsung are building chip factories in the US, but according to Schmidt and Allison, the US needs to do more to ensure America’s long-term prosperity.

Earlier, the US government proposed a $ 52 billion chip support plan, which is still under consideration by US lawmakers. In addition, the former CEO of Google and Allison argue that the US should leverage its R&D advantage by making slower but more widely used slower chips through Intel and GlobalFoundries. You should also double the effort to get TSMC and Samsung is building a plant in the United States.

“The United States is going to lose this competition for brands,” the article says. They urge the US government to mobilize a national effort similar to that launched by the United States during World War II. At the time, the technology they worked so hard to develop helped the United States win World War II.

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