Caroline Hyde

NVIDIA is not doing that.

NVIDIA is just buying chips from them.

As is Apple.

It makes its chips via TSMC, one of its biggest revenue drivers, and is also trying to steer us as to where the memory story goes as well.

Peter, how did you hear about whether or not that's going to impact high-end phones at least?

Yeah, you touched on a very important point.

There has been a shortage of memory chips, especially for some of these consumer electronics, smartphones and the like.

That's partly because there's so much demand for the AI to pair the memory chips with AI that that's squeezing up a lot of the capacity that's out there from Samsung and SK Hynix and Micron in particular.

So that's driving up prices.

CC Wei was asked about that.

He said that he thinks it's going to be manageable going forward.

That is a big issue, though, especially for smartphones and consumer electronics.

Peter, a lead-edge chip fab is a fixed cost, $15 to $25 billion.

It takes several years to come online, and you can't know what the demand will be when it does come online, right?

No one has a crystal ball.

But a part of this is geopolitics.

TSMC is at the heart of trade talks between the U.S.

and Taiwan and is under pressure to put more capacity in this country, the United States.

You're touching on a very important point.

Maybe let's start with the company challenge here.