The Semiconductor Race: Taiwan, USA, and India’s Big Bet

Geopolitics used to be about tanks and bombs. Now, it’s about silicon chips. The global shortage during COVID made everyone realize how dependent we are on Taiwan and South Korea for semiconductors. India has launched a $10 billion incentive scheme to become a semiconductor hub. It’s ambitious, but I’m skeptical. Making chips is not like assembling phones. It requires insane amounts of clean water, stable power, and a skilled workforce. The geopolitics comes in because the US is pushing for ‘friend-shoring’—they want supply chains moved out of China and into friendly countries like India. But Taiwan’s companies are reluctant to give up their IP. It’s a negotiation. If India pulls this off, we become an essential part of the global tech supply chain. If we fail, we remain dependent on imports. The next five years will decide if we become a manufacturing superpower or just a consumer market.