Taiwan Chip Maker TSMC to Invest $100B to Grow Capacity

Taiwan Semiconductor Manufacturing Co (TSMC) chairman Morris Chang poses during an interview with Reuters in Hsinchu, Taiwan October 5, 2017. REUTERS/Eason Lam
Taiwan Semiconductor Manufacturing Co (TSMC) chairman Morris Chang poses during an interview with Reuters in Hsinchu, Taiwan October 5, 2017. REUTERS/Eason Lam
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Taiwan Chip Maker TSMC to Invest $100B to Grow Capacity

Taiwan Semiconductor Manufacturing Co (TSMC) chairman Morris Chang poses during an interview with Reuters in Hsinchu, Taiwan October 5, 2017. REUTERS/Eason Lam
Taiwan Semiconductor Manufacturing Co (TSMC) chairman Morris Chang poses during an interview with Reuters in Hsinchu, Taiwan October 5, 2017. REUTERS/Eason Lam

Major Taiwan computer chip maker Taiwan Semiconductor Manufacturing Co. plans to invest $100 billion in the next three years in expanding its manufacturing capacity and supporting research and development, the company said Thursday.

TSMC, the world’s biggest contract producer of semiconductors, said it anticipates faster growth thanks to long-term trends like the introduction of next-generation telecommunications and high-performance computing. The coronavirus pandemic, meanwhile is revving up demand for electronic devices as the world relies increasingly on digitalization.

“TSMC is working closely with our customers to address their needs in a sustainable manner," the company said in an emailed statement.

It did not give further details.

Intel, Samsung and other chip makers also have been boosting investments to meet rising demand and joust for market share.

TSMC makes processor chips for major brands like Apple Inc. It earlier announced plans to invest $3.5 billion in a second US manufacturing site, in North Phoenix, Arizona, as concern grows over heavy American reliance on sources in Asia for high-tech components.

The company operates a semiconductor wafer fabrication facility in Camas, Washington, and design centers in San Jose, California, and Austin, Texas.

Most semiconductors used in smartphones, medical equipment, computers and other products are made in Taiwan, South Korea and China.



Musk's SpaceX Strikes Data Center Deal with Anthropic

The deal involving Elon Musk's SpaceX and Anthropic marks a surprising partnership between two companies whose leaders have been publicly at odds. Brendan SMIALOWSKI / AFP
The deal involving Elon Musk's SpaceX and Anthropic marks a surprising partnership between two companies whose leaders have been publicly at odds. Brendan SMIALOWSKI / AFP
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Musk's SpaceX Strikes Data Center Deal with Anthropic

The deal involving Elon Musk's SpaceX and Anthropic marks a surprising partnership between two companies whose leaders have been publicly at odds. Brendan SMIALOWSKI / AFP
The deal involving Elon Musk's SpaceX and Anthropic marks a surprising partnership between two companies whose leaders have been publicly at odds. Brendan SMIALOWSKI / AFP

AI startup Anthropic announced Wednesday it has agreed to a major computing partnership with Elon Musk's SpaceX, securing access to a vast data center as the Claude maker scrambles to keep pace with surging demand for its AI services.

Under the deal, Anthropic will use all of the compute capacity at SpaceX's Colossus 1 data center in Memphis, Tennessee -- a facility originally built to power Musk's rival AI venture, xAI, AFP said.

The agreement gives Anthropic access to more than 300 megawatts of capacity, backed by over 220,000 Nvidia AI chips, within one month.

The company said the additional capacity would directly benefit subscribers to its Claude Pro and Claude Max plans.

Anthropic also announced it was immediately letting users do more with its technology.

The company said it was doubling the amount of Claude Code -- an AI-powered coding assistant that can write, edit, and debug software -- that paying subscribers can use in a five-hour window and eliminating restrictions that had previously cut access during busy periods.

The SpaceX deal marks a surprising partnership between two companies whose leaders have been publicly at odds.

Musk wrote in February that Anthropic "hates Western Civilization" and questioned whether there was a "more hypocritical company than Anthropic."

Anthropic CEO Dario Amodei has rankled Musk and other Silicon Valley insiders with his public warnings about the dangers of AI.

Amodei has also clashed with the Trump administration after the Pentagon designated Anthropic a supply chain risk earlier this year, a move Anthropic said amounted to unconstitutional retaliation for the company's advocacy on AI safety.

But on Wednesday Musk changed his tone, writing on X that he had spent time with senior Anthropic staff over the past week and was "impressed."

"Everyone I met was highly competent and cared a great deal about doing the right thing," he wrote.

In a separate post, Musk said he was "dissolving" xAI as a standalone company. "It will just be SpaceXAI, the AI products from SpaceX," he added, without elaborating.

SpaceX merged with xAI earlier this year in a deal valuing the two companies at $1.25 trillion. The company is widely expected to pursue an IPO this year that could be among the largest in corporate history.

The Colossus facility in Memphis has been a source of controversy.

xAI installed dozens of natural gas-burning turbines to power the site, claiming no federal permit was required because they were only for temporary use -- a move that drew persistent protests from civil rights groups who said it worsened air pollution in the Memphis area.

The SpaceX pact is the latest in a string of major compute agreements Anthropic has announced in recent months as the company looks to secure the computing power needed to meet its growing needs.

These include megadeals with Amazon, Google and Broadcom, Microsoft and Nvidia, and an infrastructure investment with Fluidstack.

- AI battle -

The announcement comes as Anthropic and OpenAI -- crosstown rivals in San Francisco -- are locked in a direct battle to equip businesses with AI agents: semi-autonomous assistants capable of writing code, analyzing large volumes of documents, or processing medical records, whose adoption is accelerating rapidly.

On Tuesday, Anthropic unveiled 10 AI agents tailored specifically for banks, insurers, and asset managers -- tools capable of drafting sales presentations, conducting regulatory checks, and analyzing financial statements.

OpenAI, meanwhile, announced a partnership Tuesday with global auditing giant PwC to support its financial operations.

But the race to deploy AI agents is running headlong into a scramble for the chips and energy needed to power them.

Data center construction in the United States, despite moving at an accelerated pace, has struggled to keep up.

And the energy-hungry projects, blamed for driving up household electricity bills, are drawing growing opposition from American citizens -- an issue that could weigh on November's midterm elections.


Apple Agrees to $250 Mn Settlement over AI Siri Claims

FILE PHOTO: A woman uses her smartphone inside the Apple store in Beijing's Sanlitun area as the new iPhone 17 series smartphones go on sale in Beijing, China September 19, 2025. REUTERS/Maxim Shemetov/File Photo
FILE PHOTO: A woman uses her smartphone inside the Apple store in Beijing's Sanlitun area as the new iPhone 17 series smartphones go on sale in Beijing, China September 19, 2025. REUTERS/Maxim Shemetov/File Photo
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Apple Agrees to $250 Mn Settlement over AI Siri Claims

FILE PHOTO: A woman uses her smartphone inside the Apple store in Beijing's Sanlitun area as the new iPhone 17 series smartphones go on sale in Beijing, China September 19, 2025. REUTERS/Maxim Shemetov/File Photo
FILE PHOTO: A woman uses her smartphone inside the Apple store in Beijing's Sanlitun area as the new iPhone 17 series smartphones go on sale in Beijing, China September 19, 2025. REUTERS/Maxim Shemetov/File Photo

Apple on Tuesday agreed to pay $250 million to settle a class action lawsuit accusing it of misleading millions of iPhone buyers by falsely touting artificial intelligence capabilities for its Siri voice assistant in late 2024.

Plaintiffs accused the California tech giant of having "promoted AI capabilities that did not exist at the time, do not exist now, and will not exist for two or more years" in order to boost iPhone sales, the document -- reviewed by AFP -- stated.

The Better Business Bureau's National Advertising Division, the US advertising watchdog, had also concluded that Apple falsely suggested the new AI-powered Siri was "available now."

The settlement filed Tuesday for court approval, which includes no admission of wrongdoing by Apple, covers roughly 36 million eligible devices -- the iPhone 16, as well as the iPhone 15 Pro and 15 Pro Max -- purchased in the United States between June 10, 2024 and March 29, 2025.

Each class member could receive $25 per device, a sum that could reach $95 depending on the number of approved claimants.

"We resolved this matter to stay focused on what we do best: delivering the most innovative products and services to our users," Apple told the Financial Times.

A Morgan Stanley survey cited in the complaint indicated that "enhanced Siri" was the feature that potential iPhone buyers most anticipated.

Apple had launched a major advertising campaign in 2024 to promote these capabilities, before confirming their indefinite delay and pulling its ads.

The settlement must still be approved by Judge Noel Wise of the federal district court for the Northern District of California at a hearing set for June 17, 2026.


India Approves Two Semiconductor Projects Worth $414 Million

Prime minister of India Narendra Modi leaves after the hand shake photo with President of Vietnam To Lam prior to a meeting at Hyderabad House in New Delhi, India, 06 May 2026. EPA/RAJAT GUPTA
Prime minister of India Narendra Modi leaves after the hand shake photo with President of Vietnam To Lam prior to a meeting at Hyderabad House in New Delhi, India, 06 May 2026. EPA/RAJAT GUPTA
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India Approves Two Semiconductor Projects Worth $414 Million

Prime minister of India Narendra Modi leaves after the hand shake photo with President of Vietnam To Lam prior to a meeting at Hyderabad House in New Delhi, India, 06 May 2026. EPA/RAJAT GUPTA
Prime minister of India Narendra Modi leaves after the hand shake photo with President of Vietnam To Lam prior to a meeting at Hyderabad House in New Delhi, India, 06 May 2026. EPA/RAJAT GUPTA

India said it had approved two new semiconductor projects worth $414 million, as the government accelerates efforts to establish the country as a global electronics powerhouse.

The projects -- an LED display facility and a semiconductor packaging unit -- were cleared late Monday, taking the total number of facilities in India to 12, with a total investment of about $17.2 billion.

New Delhi launched its push into domestic chipmaking in 2021 and has since backed a range of fabrication, design and packaging units as part of a broader strategy to cut import dependence and strengthen supply chains.

Prime Minister Narendra Modi said the two new projects were a part of "our efforts towards making India a leader in the global semiconductor value chain".

"India's advances in the world of semiconductors will boost economic transformation, technological self-reliance and encourage the innovation ecosystem," AFP quoted him as saying on social media.

The LED project will be an "integrated facility for compound semiconductor fabrication" aimed at producing mini and micro display modules, the government said in a statement.

The packaging unit will cater to automotive, industrial and electronics sectors.

The projects would provide a "significant boost" to the country's semiconductor ecosystem and "complement the growing world class chip design capabilities coming up in the country", it said.

India's chip market has risen from around $38 billion in 2023 to an estimated $45-$50 billion in 2024-2025.

The government is targeting $100-$110 billion by 2030.

Several previously approved plants have begun production, with two facilities already starting commercial shipments.