TSMC says future chip factories in the US will take two years or less to complete, a big step forward from the five years needed for its first Arizona plant. The goal is to narrow the technology gap with its cutting-edge Taiwanese fabs.
While the first US fab makes chips on a 4nm process, TSMC aims to start 3nm production in 2028 and reach 2nm ‘before 2030.’ This would bring American output closer to the most advanced nodes used in Taiwan.
For Apple, which relies heavily on TSMC, the move reduces geopolitical risks tied to China–Taiwan tensions. Critics, however, point out that all R&D remains in Taiwan, limiting the US’s chances of true semiconductor leadership.
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EU Tech Commissioner Henna Virkkunen has voiced support for using a Regulation, rather than a Directive, in the upcoming Digital Networks Act.
She says this would ensure consistent implementation across all member states, avoiding the patchwork seen under current telecom rules.
Virkkunen also hinted at easing merger rules and reducing ex-ante regulation within the existing framework, the European Electronic Communications Code.
These changes, she noted, could encourage investment and help the EU meet its goal of full 5G and fibre coverage by 2030.
She criticised slow national efforts to phase out high-risk Chinese components from 5G networks, calling for stronger action.
Her stance follows pressure from MEPs concerned about ongoing cybersecurity risks and lack of enforcement.
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Korean authorities say no decision has been made on when China’s DeepSeek AI app can resume operations in the country. The app was suspended last month due to concerns over its data handling practices.
Talks are ongoing between the Personal Information Protection Commission in Korea and DeepSeek, which recently appointed a local representative and pledged to comply with Korean privacy law.
DeepSeek is considered a key player in the Korean market, but officials stress that any resumption will depend on satisfactory privacy safeguards. No timeline has been set for lifting the suspension.
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Microsoft has scrapped plans for over 2GW of data centre leases in the US and Europe, signalling a strategic shift in its AI infrastructure support.
The move appears linked to scaled-back OpenAI workloads and concerns over market oversupply.
The decision has sent shockwaves through US tech markets, with shares of AI players like Nvidia and Dell taking hits. Bitcoin mining stocks also slumped by up to 12%, as hopes for sustained AI-driven demand dimmed.
While Microsoft steps back, Google and Meta are ramping up their own capacity, trying to fill the gap.
Analysts warn that crypto miners, already facing profitability pressure, may need to rethink their business models in light of this new reality.
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CoreWeave, the Nvidia-backed AI infrastructure company, has reduced the size of its US initial public offering (IPO) and priced its shares below the initial range, raising concerns over investor interest in AI infrastructure.
The company will offer 37.5 million shares, 23.5% fewer than originally planned, with shares priced at $40 each, well below the lower end of the expected price range.
Despite strong backing from Nvidia, which committed to a $250 million order, the IPO has faced a tepid reception due to concerns about CoreWeave’s long-term growth and capital-intensive business model.
Investors have expressed worries over the company’s reliance on Microsoft’s shifting AI strategy, which could affect demand for its GPU chips. Additionally, CoreWeave’s high debt levels and lack of profitability have raised doubts about its financial sustainability.
The reduced IPO comes at a time when the US IPO market is struggling, with fewer equity deals and lower transaction values in 2024 compared to last year.
CoreWeave’s stock market debut, once seen as a test for the AI infrastructure market, now signals waning investor confidence in AI companies, especially those without a proven profit history.
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Two former Meta AI executives have secured $15 million in funding for Yutori, a San Francisco-based startup focused on developing AI personal assistants.
The funding round was led by Radical Ventures, with backing from prominent investors including AI pioneer Fei-Fei Li and Google DeepMind’s Jeff Dean.
Yutori aims to create autonomous AI agents capable of executing complex online tasks without human intervention. Unlike traditional chatbots, these AI assistants will handle real-world actions, from ordering food to managing travel plans, streamlining everyday digital interactions.
The company is also advancing post-training techniques to enhance AI models’ ability to navigate the web efficiently.
With a team of experts who previously worked on Meta’s AI projects, including the development of Llama 3 and Llama 4 models, Yutori is positioning itself at the forefront of AI-driven automation.
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South Korea’s SK Hynix has reported that some customers are accelerating orders ahead of potential US tariffs on semiconductor imports.
Speaking at the company’s annual shareholder meeting, Head of Global Sales and Marketing Lee Sang-rak noted that this trend, combined with reduced customer inventory, has contributed to favourable market conditions.
However, he cautioned that it remains uncertain whether the demand surge will continue.
The US government is considering a 25% tariff on semiconductor imports, prompting fears of price increases and supply chain disruptions. Analysts at Nomura have observed preemptive stockpiling in response, though the final decision on tariffs is still pending.
Meanwhile, competitors Micron, SanDisk, and China’s YMTC have raised their memory chip prices due to strong demand from the AI sector.
SK Hynix remains optimistic about growth, particularly in the high-bandwidth memory (HBM) chip market. CEO Kwak Noh-Jung stated that demand is expected to soar this year, with sales for 2025 already sold out and 2026 orders nearing finalisation.
He also dismissed concerns that Chinese AI startup DeepSeek’s low-cost models would slow demand for high-performance accelerators, arguing that AI advancements will drive further expansion in the memory chip industry.
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Chinese scientists have developed a compact chip-based quantum digital signature network that drastically improves both speed and efficiency.
The system replaces bulky, expensive equipment with streamlined silicon chips, making it easier to integrate into today’s fibre networks.
The new setup allows multiple users to share a single central detector, reducing cost and complexity. By adopting a star network design and a new cryptographic protocol, the system can handle longer documents with fewer resources and lower delays.
The Chinese experiment outperformed previous quantum signature technologies, achieving reliable performance even over a 200 km fibre link.
Experts say this research opens the door to future applications in quantum e-commerce, secure communication, and digital finance.
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Nvidia is reportedly close to acquiring Lepton AI, a startup that rents out servers powered by Nvidia’s AI chips. The deal, said to be worth several hundred million dollars, would mark Nvidia’s entry into the server rental space.
Founded just two years ago, Lepton AI previously raised $11 million in seed funding and is seen as a key rival to Together AI, a similar firm with over $500 million in backing.
The move follows Nvidia’s recent acquisition of synthetic data startup Gretel.
With AI demand skyrocketing, this acquisition could strengthen Nvidia’s grip on the market by combining its chip dominance with direct cloud-based services. Nvidia has yet to comment on the reported talks.
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Alibaba and BMW have joined forces to develop advanced AI technologies aimed at shaping the future of mobility in China.
The collaboration brings together Alibaba’s growing AI expertise and BMW’s automotive innovation to produce smarter, more intuitive vehicles tailored to the Chinese market.
The partnership centres on integrating a customised AI engine into BMW’s Intelligent Personal Assistant, using Yan AI—developed by Alibaba’s Banma—as its foundation.
However, this AI-powered assistant is set to debut in BMW’s upcoming Neue Klasse models, manufactured in China from 2026. These vehicles will feature voice-activated controls and real-time assistance, creating a more seamless and personalised driving experience.
BMW plans to introduce two AI agents, Car Genius and Travel Companion, to enhance in-car services such as navigation, traffic updates, and personal scheduling.
The customisable nature of these tools reflects a growing demand for smart, user-friendly features in the automotive space, particularly in tech-savvy markets like China.
As global competition in the electric vehicle sector intensifies, BMW’s strategic pivot towards AI and the Chinese market could strengthen its position against local rivals such as BYD and Geely.
With European subsidies declining, the German carmaker is looking to AI-powered innovation as a key lever to maintain relevance and secure long-term growth.
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