US-China Tech War Escalates: Taiwan Semiconductor Stock (TSM) in the Crossfire

We recently published a list of 15 Trending AI Stocks on Latest News and Analyst Ratings. In this article, we are going to take a look at where Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) stands against other trending AI stocks on latest news and analyst ratings.

OpenAI, the AI startup of ChatGPT fame, recently urged the United States government and allies to come together to develop the AI infrastructure needed to compete with China. According to a report published by Bloomberg, the startup has said that the US and neighboring countries should form a North American Compact for AI that can streamline access to talent, financing and supply chains for building out the technology. The company further added this collaboration could later expand to include a global network of US allies and partners, including countries in the Middle East.

Read more about these developments by accessing 10 Best AI Data Center Stocks and 10 Buzzing AI Stocks According to Goldman Sachs.

At an event hosted by the Center for Strategic and International Studies in Washington, the startup issued a new policy blueprint, saying that the US should backstop energy infrastructure projects by committing to purchase power from them. The company further urged the US to establish AI Economic Zones that speed up the permitting process and help bring nuclear reactors back online. It also proposed expanding nuclear energy capacity by tapping the US Navy, which has built compact reactors to power submarines. The company is already working with Microsoft to set up an AI fund needed to develop AI chips, energy and data centers.

Read more about these developments by accessing 30 Most Important AI Stocks According to BlackRock and Beyond the Tech Giants: 35 Non-Tech AI Opportunities.

For this article, we selected AI stocks by combing through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds.

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A close-up of a complex network of integrated circuits used in logic semiconductors.

Market Capitalization: $851 Billion  

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) makes and sells integrated circuits and semiconductors. On November 13,  Zhu Fenglian, a spokeswoman for the Taiwan Affairs Office in China, stated that a United States directive to TSM to block shipments of advanced chips to some Chinese clients demonstrated that the US was playing the Taiwan card in order to increase tensions in the Taiwan Straits. This is the first Chinese reaction to new US directives that have halted advanced AI chip exports to Chinese companies.