“Since Taiwan has related regulation to protect its own technologies, TSMC cannot produce 2-nanometer chips overseas currently,” said Kuo, according to a report in the Taipei Times. “Although TSMC plans to make 2-nanometer chips [abroad] in the future, its core technology will stay in Taiwan.”

Taiwan’s technology protection rules prohibits Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) from producing 2-nanometer chips abroad, so the company must keep its most cutting-edge technology at home, Minister of Economic Affairs J.W. Kuo (郭智輝) said yesterday.

Taiwan Semiconductor Manufacturing Company (TSM) is following U.S. efforts to curb China’s artificial intelligence ambitions, reportedly telling chip design firms in the country it will stop producing their most advanced AI chips.