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NVIDIA's Huang Declines TSMC CEO Offer, Strengthens Semiconductors Alliance with Chang

Word on the StreetSaturday, Nov 30, 2024 7:00 am ET
1min read

In his newly published autobiography, TSMC founder Morris Chang reveals an intriguing episode with Jensen Huang, the founder and CEO of NVIDIA. In 2013, Chang invited Huang to consider succeeding him as TSMC's chief executive, identifying him as an ideal candidate due to his character, expertise, and industry knowledge. However, Huang politely declined the offer within a brief ten-minute conversation, citing his passion for his current role at NVIDIA.

Chang reflects on his lasting friendship with Huang, a bond that has spanned over 20 years. The relationship between the two leaders has seen NVIDIA and TSMC collaborate closely, dating back to 1998 when TSMC provided crucial support to NVIDIA at a pivotal moment. This cooperation laid the groundwork for ongoing business partnerships that have since driven significant advancements in the semiconductor industry, especially in areas like artificial intelligence and GPU development.

Despite turning down Chang's proposal to lead TSMC, Huang maintained and even deepened NVIDIA's reliance on TSMC's chip manufacturing prowess. This strategic choice underscores Huang's confidence in TSMC's capabilities, which has been instrumental in NVIDIA's recent achievements, particularly with their innovative AI chips. These developments highlight the symbiotic relationship between NVIDIA and TSMC, positioning it as a key force in the global tech landscape.

Their collaboration is frequently cited as a crucial driver in the realm of artificial intelligence. TSMC's advanced manufacturing processes empower NVIDIA to bring cutting-edge technologies to market. Recent market attention has been drawn to NVIDIA's new AI chip, Blackwell, demonstrating the results of this partnership. Huang's stringent commitment to deliver on production promises despite external skepticism serves as a testament to his enduring trust in TSMC.

The narrative between Chang and Huang is more than just a testament to their personal friendship; it reflects a broader saga of strategic alliances and competitive dynamics within the semiconductor sector. Together, they underline the importance of collaboration and mutual respect in pushing the boundaries of technology forward, cementing their legacies in fostering innovation across the globe.

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