The world’s biggest chipmaker, Taiwan Semiconductor Manufacturing Company (TSMC), is working to resume operations after a 7.4 magnitude earthquake struck Taiwan's east coast on Wednesday. This earthquake, the strongest in 25 years, resulted in nine fatalities and caused landslides and collapsed structures.
Although TSMC's facilities on the opposite side of the island experienced some shaking, the company reported that its staff were safe and had returned to work. While a small number of tools were damaged, TSMC assured that there was no impact on critical operations.
Despite the temporary disruptions, the earthquake is not expected to have long-term effects on the semiconductor supply chain. However, it highlighted the risks of concentrating microchip manufacturing in a region prone to earthquakes and geopolitical tensions.
In recent years, chipmakers and governments, including the US government, have invested billions in diversifying chip production to mitigate such risks. Nevertheless, experts express concerns that the diversification process may not be happening quickly enough.
