Why Taiwan Semiconductor Stock Is Up Today
Chipmaker Taiwan Semiconductor Manufacturing (NYSE: TSM) is planning a major Arizona expansion, backed by billions in support from the U.S. government. Investors appear pleased with the terms of the deal, sending Taiwan Semiconductor shares up more than 2% at the open Monday.
Taiwan Semiconductor is the contractor behind some of the biggest names in technology, making chips for Nvidia, Advanced Micro Devices, and others. A significant portion of the company's manufacturing capacity is in its native Taiwan, but the U.S. government has made it a priority to entice chipmakers to build stateside.
On Monday, Taiwan Semiconductor announced plans to manufacture state-of-the-art 2-nanometer chips at a plant under construction in Arizona. The company is investing $65 billion in the U.S. on three fabrication plants, supported by $6.6 billion in grants from the U.S. government and upwards of $5 billion in additional loans.
Source Fool.com
