France’s CEA-Leti, a leading European semiconductor research institute, outlined ambitious strategies to address critical AI hardware bottlenecks through advanced silicon photonics, 3D integration, and wide bandgap technologies during a high-profile event with Taiwanese industry leaders.

Despite weaker smartphone sales and mounting geopolitical risks, TSMC remains unfazed. Chairman and CEO C.C. Wei reaffirmed the chipmaker’s strong 2025 outlook during its latest earnings call, brushing off speculation about softening AI demand and denying rumors of a potential lifeline for Intel.

Taiwan’s supply chain firms are navigating a turbulent landscape as the US continues to recalibrate its tariff policies. While recent exemptions for smartphones, laptops, and other electronic devices have offered temporary relief to major brands like Apple, wearables such as the Apple Watch and AirPods remain excluded from these lists. This exclusion injects new uncertainty into the market, particularly for suppliers already grappling with razor-thin profit margins.

Amid rising geopolitical tensions, Taiwan’s leading tech manufacturers, including Foxconn, Quanta, Wistron, Wiwynn, and Inventec, are accelerating investments to expand production in the US. However, with higher labor costs and tougher regulations in the US, these companies are turning to advanced automation to stay competitive and maintain operational efficiency.