Taiwan is spending $100 billion to solve global chip shortage

Taiwan Semiconductor Manufacturing Co. (TSMC), one of the world’s largest chipmakers, has unveiled plans to invest $100 billion to increase the output of semiconductor chips to keep up with rising global demand.

This announcement comes after US semiconductor leader Intel’s decision last week to spend $20 billion to boost semiconductor production both domestically and in Europe.

TSMC CEO, Wei Che-Chia, said that the company will start building new fabrication plants and expanding existing ones for both leading-edge and specialty technologies.

“We have started hiring thousands of new employees, acquired land and equipment, and started construction of new facilities at multiple sites globally,” he added.

Semiconductor chips are integral to the global cloud and data centre industry. As demand for cloud services continues to grow exponentially and more data centres are being built all around the world, semiconductor chips are seeing such a sharp rise in demand that the global market is heading towards a shortage.

Said shortage also appears to be spreading to the electronic hardware industry, including smartphones, tablets, and laptops.

In January, TSMC had set aside a budget of $25 billion to $28 billion for chipmaking. The company’s quadruple increase in investment shows the urgency of chip shortage in the semiconductor industry.

On top of technological expansion, CEO Wei also promised clients that TSMC would suspend wafer price discounts throughout the whole of 2022.

Taiwan is currently the world’s leading semiconductor manufacturer, alongside South Korea’s SK Hynix. In March, Japan had to source semiconductor chips from Taiwan after a fire devastated a production plant in northeast Japan.

Google is building its third data center in Taiwan

Google has confirmed it will build its third data center in Taiwan, following speculation last month by the country’s Economic Daily News.

The tech giant made the announcement at a ‘Google for Taiwan’ event held on Thursday 3 September.

“As a country with limited natural resources and a population insufficient to produce the demographic dividend, Taiwan should ‘go smart’ to boost its international profile,” said Google Taiwan’s General Manager, Tina Lin.

Reports made by Taiwanese media outlets in late August suggested Google had purchased a 198,000 square meter plot of land in Yunlin County from local manufacturing firm China Man-made Fiber for US$681 million.

At present, Google has one data center in the Changhua County of Taiwan, and Google announced plans to build a second hyperscale data center in Tainan City last year.

At the event, Google also revealed its ambitions for its Digital Talent Exploration Program, expressing its plans to partner with Taiwanese businesses and the government to build a strong digital economy and a ‘smart Taiwan’.

Taiwan is one of Google’s largest tech bases in the Asia Pacific. And with a third data center, Google would be investing more than US$800 million in Taiwan, highlighting the company’s commitment to expand its presence in Asia, outside of Singapore and Indonesia where its other data centers preside.

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Google is building its third data center in Taiwan

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Nicole Ong

Tech Reporter, W.Media

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AWS expands Asia presence, making Outposts available in India, Malaysia, Taiwan and Thailand

Amazon Web Services has expanded its presence in Asia by launching AWS Outposts in India, Malaysia, Taiwan and Thailand, enabling businesses to gain greater native access to AWS services.

Customers can use the Outposts to help them with large projects requiring low latency access to on-premises systems as well as local data processing and storage.

“With AWS Outposts, our customers can benefit from the accelerated pace of innovation in the cloud, while securely storing and processing sensitive data on-premises,” said Conor McNamara, the Managing Director of ASEAN at AWS.

The Outposts enable businesses to work with the AWS Partner Network, assisting application migration to AWS.

“As AWS Outposts is fully managed by AWS, our customers can also focus on their end users, and driving innovation that differentiates their businesses, while leaving the responsibility of managing the infrastructure to us,” added Mr. McNamara.

Empowering hybrid cloud solutions

A number of businesses have celebrated the launch of AWS Outposts in Asia, which empower hybrid cloud solutions and transform customer user experience.

Our customers will benefit from AWS’s rapid pace of innovation in cloud infrastructure services while being able to store and process data on-premises,” said Mr. Ahmad Taufek Omar, the Executive Vice President and Chief Executive Officer of TM ONE.

The enterprise and public sector business solutions arm of Telecommunications Company Telekom Malaysia Berhad found AWS Outposts to be an important part of TM ONE Cloud Alpha’s hybrid cloud strategy.

“It will help us in our mission to enable the Malaysian public sector and enterprises to be more agile, while delivering better and more comprehensive services to end customers. This is in line with TM Group’s commitment in enabling Digital Malaysia,” said Mr. Omar.

Outposts enable customers to run services like Elastic Compute Cloud, which allows users to reduce demand on physical servers by running virtual servers as if they were in the cloud.

“Incorporating hybrid cloud will address the need for data residency and edge computing, all accessed through our leading next generation converged network. Our goal is to accelerate cloud adoption and digital transformation journeys for businesses,” said Claire Featherstone, the Head of Maxis Technology Practices and Maxis Cloud Centre of Excellence, a leading Malaysia-based communications provider.

AWS Outposts are replicas of hardware infrastructure, services and API that run in Amazon data centers. With the availability of Outposts, customers can connect to the nearest AWS Regions in Asia, including Singapore.

InfoFabrica, a Singapore-based IT hybrid cloud consulting and managed services company, welcomed the announcement.

“Many of our enterprise customers look for hybrid cloud solutions that will allow them to move workloads and data seamlessly between on-premises assets and the AWS cloud,” said Mr. Li Wen Chi, Managing Director of InfoFabrica Pte Ltd.

The general availability in India, Malaysia, Taiwan and Thailand follows the launch of AWS Outposts in Singapore and Indonesia earlier this year.

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