Taiwan's Chip Titans Including TSMC Push for Green Energy as AI Surge Continues

Taiwan's semiconductor industry, a global powerhouse in chip manufacturing, is pressing the government to accelerate its transition to renewable energy. 

This push comes as the nation aims to meet its ambitious 2050 net-zero carbon emissions target. The rapid growth in artificial intelligence (AI) applications drives an unprecedented energy demand, emphasizing the need for sustainable sources.

Also Read: Microsoft's Vision For AI's Future Is Harnessing Nuclear Power

Despite being a significant energy consumer, Taiwan relies heavily on imports for its energy requirements, predominantly in natural gas and coal, Reuters reports.

Cliff Hou, Senior Vice President at Taiwan Semiconductor Manufacturing Co Ltd TSM, highlighted the transformative potential of AI. He said that AI presents a rare opportunity for the semiconductor industry. 

Addressing the annual meeting of the Taiwan Semiconductor Industry Association in Hsinchu, Hou emphasized the need for a consistent supply of green energy, emphasizing the importance of renewable energy for the industry's growth.

The current supply of net-zero energy is insufficient to meet the demands of the semiconductor sector. Hou urged the government to expedite the development of new energy sources to bridge this gap.

GlobalWafers CEO Doris Hsu also weighed in on the discussion.

Meanwhile, tech giants, including Microsoft Corp MSFT and Alphabet Inc's GOOG GOOGL, are struggling with the high costs of monetizing generative AI tools as the technologies are costly due to their need for powerful servers and energy-intensive chips. 

Microsoft reportedly incurred losses on one of its initial generative AI products.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.