NVIDIA (NVDA) CEO Jensen Huang Just interrupted the big debate about AI chip manufacturing, saying that the future of advanced chips runs through Taiwan.
By extension, it remains the crown jewel of the chip world. Taiwan Semiconductor Manufacturing Company (TSM), Regardless of fab numbers announced elsewhere.
Huang made it clear in an interview with The Times that efforts to diversify production need to be viewed through the lens of resilience rather than substitution.
Over the past year or so, we’ve seen the U.S. add capacity along with Europe, but the deep, decades-long ecosystem that produces advanced silicon remains concentrated.
Still, the AI industry continues to evolve, and Mr. Market is becoming increasingly picky.
Memory stocks have been a standout performer over the past week, with Micron Technologies outperforming An increase of nearly 10% Against the backdrop of a growing supply-demand imbalance in its space.
TSM stock remains stable but is up nearly 40% over the past six months.
Narrowing the scope, the semiconductor field represented by SOXX ETF released Over 5% profit Over the past week, investors bet on “pickaxe and shovel”Names like Applied Materials.
Meanwhile, AI leaders like Nvidia, which just debuted at another ambitious CES show, have mostly been sluggish.
Since I last covered Nvidia on January 7, 2026, it has fallen from $189.11 to $184.86 as of January 9, 2026 (-2.25%).
Still, recent market moves suggest the AI industry remains active, and Huang’s comments have added fuel to the fire.
Nvidia CEO’s comments highlight why TSMC remains key as AI bubble fears grow.Photo by Patrick T. Fallon at Getty Images
Huang told Time magazine that reshoring efforts in the United States and other countries have more to do with insurance than substitution.
In the process, he praised Taiwan for being central to the structure of advanced computing development in the coming years.
In the long term, the Semiconductor Industry Association reported last July that the incredible More than 100 projects in 28 states Published, total over five trillion dollars exist private investment, By 2032, U.S. chip production capacity is expected to triple.
More NVIDIA:
This view falls squarely on TSMC, This is clearly at the heart of Nvidia’s latest chips and much of its AI supply chain.
Huang said Taiwan’s advantage is not only related to cutting-edge nodes, but also spearheaded by a strong ecosystem of suppliers, packaging, talent and speed.
