Semiconductors

CoreWeave scripts AI’s Tinker Bell moment

27 Mar 2025

The cloud services firm cut its mooted target IPO valuation by 22% as supplier Nvidia steps in for support. Like the storybook fairy, the business lives on belief, in this case that a few companies will keep feeding a circular silicon economy. Rising doubt could be existential.

Intel’s latest CEO puts ‘great man theory’ to test

17 Mar 2025

The $110 bln chipmaker has cut jobs, tried to expand production for others, and improved manufacturing performance. New boss Lip-Bu Tan promises the same direction, but more movement. As his predecessor found out, changing leaders cannot make up for past semiconductor missteps.

A hostile $7 bln chip deal leans on electric faith

6 Mar 2025

Onsemi, its stock down nearly 60% and sales tumbling as carmaker clients wobble, is pressing to buy rival Allegro. Cost cuts might bump the return to a meager 3%, while tariffs and economic gloom linger. Yet the bidder is going with traffic: cars need more chips, especially EVs.

TSMC’s $100 bln gamble jeopardises ‘Taiwan First’

4 Mar 2025

The $800 bln chipmaker’s boss, CC Wei, pledged fresh funds to build factories in the US on a visit to the White House. He also committed to set up a major R&D centre stateside despite an earlier reassurance to keep innovation at home. That's a fresh threat to Taiwan's tech edge.

Nvidia benefits from a first-mover disadvantage

25 Feb 2025

The $3 trln chipmaker is expected to post strong results, even as efficiency gains or uncertain payoffs threaten AI spending. The first tech giant to cut back might take a valuation hit while losing access to scarce chips and a shot at a breakthrough. FOMO is a delicate balance.

For TSMC, Trump can make an Intel deal appeal

17 Feb 2025

Taiwan's $840 bln chipmaker might take a stake in its ailing rival's factories at the behest of the US. Such a deal makes no financial sense. But with the president threatening tariffs and more, it may be a small price to pay for the Asian giant to protect its top market.

AI giants’ less-is-more logic bears three caveats

3 Feb 2025

Breakthroughs in building cheaper silicon smarts threaten tech firms enjoying a spending boom. Microsoft’s CEO offered comfort in a 160-year-old observation that efficiency gains stoked coal demand. Fracking, solar power and genetic testing point to a less encouraging path.

DeepSeek rise blurs ASML’s AI-driven recovery

29 Jan 2025

Booming orders from customers like TSMC sent the $290 bln maker of semiconductor machines’ shares up 8%. But a Chinese model using fewer, less advanced chips is a threat, and may increase the risk of a US export purge. A return to last year’s heady valuation looks harder.

AI and fiber bust parallel is partly hallucinated

28 Jan 2025

Some 25 years ago, investors realized that new technologies destroyed the case for wild telecom spending, crushing hopes of profit. Now, DeepSeek’s challenge to ever-rising AI cost assumptions has cut $600 bln from Nvidia alone. Yet damage will likely be more contained this time.

How China can keep pace in the global AI race

24 Jan 2025

The US is trying to curb Beijing’s progress on artificial intelligence. Yet national champions like Huawei, as well as the military, have racked up some wins. Given the potential $6 trln economic prize up for grabs, the People’s Republic has every reason to find more workarounds.

US-China tech war will hold Asian allies hostage

16 Dec 2024

Washington’s curbs on semiconductors and other goods are starting to elicit a response from the People’s Republic. New export control rules offer a way for Beijing to retaliate. Its leverage over giants like Japan’s Toyota or South Korea’s SK Hynix make them prime targets.

AI models’ slowdown spells end of gold rush era

13 Dec 2024

Rapid progress from building bigger systems set off a dash for data centers and chips. But progress may be slowing. Microsoft and Alphabet face less existential pressure but also new competitors, putting a question mark over the $8 trln rise in Big Tech’s market value since 2022.

Bain’s Japan chip IPO is a tough sell

3 Dec 2024

The US private equity firm will list Kioxia six years after leading the memory unit's $18 bln carve-out from Toshiba. The roughly $5 bln equity valuation means poor returns for sellers. And convincing new investors to look past Kioxia's crippling debt pile will be a slog.

Intel’s independent streak will come to an end

2 Dec 2024

Boss Pat Gelsinger is exiting the once-revolutionary chipmaker as it struggles to find a place in the future. It missed chances with Apple, Nvidia and OpenAI while its gross margin halved to 32%. A management shakeup portends a strategic one, which probably leads to a new owner.

Nvidia’s next move is to hit the road

22 Nov 2024

The $3.5 trln chipmaker gleans only 1% of sales from carmakers. Yet the unit grew 72% in the third quarter, a similar pace to rival Qualcomm. Stuffing silicon into cars could be a $140 bln market by 2028 and a crucial diversifier from relying on a few colossal data center buyers.

Nvidia’s growing cash hoard points to M&A

18 Nov 2024

The chip designer could have $175 bln on hand in two years, surpassing even Apple’s giant pile of liquidity. Combined with a more deal-friendly US president, it opens up acquisitions. Founder Jensen Huang’s broad ambition means optics, healthcare and robotics are possible.

ASML’s sunny AI destination has a cloudy roadmap

15 Nov 2024

The $270 bln semiconductor equipment maker has stuck to its 2030 sales guidance, thanks to growing data centre needs. But chipmakers’ strife, politics, and weak smartphone demand remain near-term headaches. Investors may like ASML’s destination, but the route there looks bumpy.

Taiwan’s silicon shield wants for reinforcement

7 Nov 2024

Taipei’s exports to the US are surging thanks to chip giant TSMC, but Donald Trump's threatened tariffs would undermine those. How far the president-elect would go to protect the island from Beijing, especially if trade weakens, is unclear. It's time to boost spending on defence.

Samsung’s diminishing tech edge is in full glare

31 Oct 2024

The South Korean giant has lost over $100 bln of market value this year as it falls behind rivals in making chips used for AI. The company may be paying the price for one giant distraction: Boss Jay Y. Lee's never-ending legal troubles. Shareholders are voting with their feet.

ASML’s weakness flags limits of the AI boom

15 Oct 2024

The 260 bln euro chip-machine maker’s shares plunged again amid flaky demand from smartphone customers. ASML already has separate issues with Intel and China. The struggles of a key sector stock are a timely reminder that the AI wave doesn’t lift all boats.