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Taiwan’s dominance in chip manufacturing a concern for AI progress

The landscape of AI technology is increasingly intertwined with global geopolitics, as seen in the recent developments involving China, Taiwan, and tech giant Nvidia. Nvidia’s advanced AI and deep learning technologies, particularly in sectors like ChatGPT, are at the center of this evolving scenario.

Nvidia’s AI technology is becoming a critical asset in the technological rivalry between China and Taiwan. Taiwan’s significant role in global semiconductor manufacturing adds to the concerns about the vulnerability of the AI supply chain.

While the U.S. continues to try to build out chip manufacturing, the potential for shortages in AI chipsets is concerning.

Nvidia competitor AMD is pushing to reduce its dependence on Taiwan manufacturing.

OpenAI CEO Sam Altman raising billions to build a network of chip factories to produce advanced semiconductors, most of which today — including Nvidia’s coveted GPUs — are manufactured in Taiwan.  Microsoft flagged chip shortages as a risk in its 2023 reporting.

Mark Zuckerberg has reportedly been on a ‘buying spree’ purchasing and stockpiling huge amounts of the Nvidia H100 chips and plans to continue to be the biggest corporate buyer, regardless of the criticism that he has be subject to.

Speaking at the World Economic Forum, Altman noted that “none of the pieces are ready” for delivering AI infrastructure “at the scale that people want it.”.

These developments highlight how cutting-edge technology, like AI and semiconductors, are becoming integral to national security and international relations strategies.

Sources include: Axios

Jim Love
Jim Love
I've been in IT and business for over 30 years. I worked my way up, literally from the mail room and I've done every job from mail clerk to CEO. Today I'm CIO and Chief Digital Officer of IT World Canada - Canada's leader in ICT publishing and digital marketing.

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Jim Love, Chief Content Officer, IT World Canada

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