Analyst Suggests TSMC Should Invest Directly in America Instead of Partnering with Intel

Currently, there is significant ambiguity regarding TSMC’s potential investment in Intel. However, analysts suggest that bolstering the U. S.semiconductor sector presents a more advantageous opportunity for TSMC.

Prioritizing U. S.Investments Over Intel Collaborations

Recently, speculation emerged about TSMC possibly investing in Intel in support of the U. S.chip manufacturing initiative. Nevertheless, TSMC has refuted these claims, indicating that it is not pursuing any partnership or investment strategies involving Intel. This slant on the matter underscores the doubts surrounding any possible collaboration between TSMC and Intel. Ming-Chi Kuo, a well-respected analyst, argues that TSMC’s focus should be on enhancing its investments in the United States, describing this approach as ‘far superior.’

站在提升美國半導體產出的角度，台積電入股或合資的效率，遠遠不及其直接投入在美產能擴張。這是顯而易見的事實，這是台積電至今沒有跟任何公司有入股或合資相關討論、並持續否認多次市場相關傳言的原因。https://t.co/bFsku1XCIU pic.twitter.com/ck8uRGriJ6

— Ming-Chi Kuo (@mingchikuo) September 29, 2025

Several factors suggest that a potential merger between TSMC and Intel may not be productive. Even if such a partnership were to materialize, political motivations might drive it. Additionally, analyst Dan Nystedt pointed out that TSMC’s founder, Morris Chang, referred to Intel’s ventures into the foundry space in the second volume of his memoir. While he extended well wishes to Intel, Chang reiterated that TSMC’s success should not be compromised by any competitive moves from Intel, citing potential risks related to customer displacement, price competition, and a favorable policy atmosphere for Intel as a domestic foundry.

2/2 The report notes TSMC founder Morris Chang talked about his special relationship with Intel in the recent 2nd volume of his memoir. Intel is a top client for TSMC and now a foundry rival. Chang wrote, “I wish Intel good luck, but I hope it doesn’t come at the expense of…

— Dan Nystedt (@dnystedt) September 27, 2025

Both TSMC and Intel operate under different management philosophies, employee structures, and technological visions, making any integration of their fundamental practices unlikely. Furthermore, as TSMC sets its sights on expanding in the U. S.market, the challenges of a partnership with Intel could complicate its plans. By diverting its efforts towards enhancing U. S.investments, TSMC stands to reap various rewards, such as production diversification, improved customer trust, and a competitive advantage over rivals like Intel and Samsung, who are also vying for influence in the American market.

As of now, TSMC has dismissed any proposals for collaboration with Intel, and no associated agreements seem to be on the horizon. However, considering the Trump administration’s focus on Intel’s operations and the prevailing uncertainties regarding semiconductor production between Taiwan and the U. S., an unexpected development could take place in the future.

Source & Images