Taiwan Semiconductor Manufacturing (NYSE:TSM) is considering building an advanced chip fabrication facility in the United Arab Emirates, according to Bloomberg.
The company has discussed the possibility with officials in U.S. President Donald Trump’s administration, as it would require approval from Washington, D.C., to build the facility, the report said, citing people familiar with the issue. The proposed project would be similar to the facility TSMC is currently building in Arizona. Even if approved, it would take several years before breaking ground.
TSMC makes chips for the biggest hardware companies in the world, such as Nvidia (NVDA), Apple (AAPL), Advanced Micro Devices (AMD) and Broadcom (AVGO).
The UAE has been busy securing partnerships with tech companies to increase its role in the artificial intelligence revolution. Earlier this month, the President of the United Arab Emirates, His Highness Sheikh Mohamed bin Zayed Al Nahyan, unveiled the first phase of a new 5-gigawatt AI campus in Abu Dhabi. The campus will be built by UAE-based firm G42, which already has a relationship with various U.S. companies, including Nvidia and Microsoft (MSFT), and operated in partnership with several unnamed U.S. companies.
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