Rolf Winkler

As big as it is, and $165 billion would be one of the largest construction projects in the United States if they ultimately spend all that and build everything there.

It's going to be maybe a decade before this one facility reaches the volumes that TSMC has multiple facilities in Taiwan operating at.

And moreover, there's the level of sophistication of the chip that they make in Arizona doesn't match Taiwan.

What's made in Arizona is five years behind and will continue to be five years behind because there's no way Taiwan is going to allow...

the best technology off the island to defend against Chinese invasion.

It's called the Silicon Shield.

Does China want to invade the island that actually makes the world's most advanced chips like all of them?

That would be ruinous to the world economy.

So it's a very good deterrent.

Cost and capability.

So China has a couple of great things going for it.

China and India and Vietnam, which are places that Apple has expanded to.

They have, first off, very cheap labor.

It's gotten more expensive.

Labor in China is no longer as cheap.

Vietnam and India are more competitive in that regard.

But they also have very skilled labor.

People machining metal and all of the talented engineering it takes to make the parts.

I mean, smartphones are intricate devices.

And there's a lot of expertise that China has built up over years that puts them ahead.