Asks about implications of TSMC earnings and Taiwan trade deal for semiconductor companies
Brian
Harsh Kumar
Trade deal formalizes and legitimizes semiconductor investment process, reducing geopolitical risk and opening doors for significant investment into US
Clarifies deal includes $250B direct investment from Taiwan companies plus $250B credit line guarantee, mostly TSMC
Brian
Asks where the investment money will flow
Brian
Harsh Kumar
TSMC supplies entire AI complex including Apple, NVIDIA, AMD, Broadcom; NVIDIA sold out through 2026, taking 2027 orders; Broadcom AI business growing 150% in 2026, 60% in 2027
Notes TSMC Phoenix facility expansion with 4-5 new fabs; asks if other semiconductor companies will benefit
Brian
Harsh Kumar
All semiconductor companies except memory players depend on TSMC for supply; outsourcing trend protects against downturns
Harsh Kumar
If rates come down, home sales pick up leading to remodeling and demand for appliances, all driving semiconductor demand
Clarifies that housing-driven demand would be more analog semiconductors, not NVIDIA-type chips
Brian
Harsh Kumar
TSMC does analog too, but advanced nodes (3nm, 2nm, 5nm) are for NVIDIA, Broadcom, Apple