Semiconductors: Chokepoints and risks

Chip designers and fabs making logic, memory, analogue and power chips from silicon

Taiwan hosts over 70% of sub-10 nm logic capacity and TSMC about 70% of foundry revenue, so a Taiwan Strait disruption would halt most advanced chip supply²^,³.
One supplier makes all EUV lithography tools and 87% of lithography overall², and three makers take about 92% of DRAM revenue⁶.
Export controls on tools, design software, chips and minerals (gallium, germanium) are tightening between the US and China, and three firms hold over 85% of EDA⁵.
Fabs need firm power and very large volumes of ultra-pure water, which constrains new sites including in India.
Demand is cyclical and now leans heavily on AI computing, which drove most of the 26% growth in 2025¹.