Microchips are found in almost every piece of technology. From enabling computers to easily make thousands of calculations per second to allowing planes to communicate with air traffic controllers, these small chips are the backbone of society.
“Prior to microchips, electronic devices were made of discrete components that consumed considerable space and power,” said Phillip Gust, a retired computer science professor who specializes in human microchipping at Northeastern University. “Today, microchips are so small and so inexpensive that they are literally everywhere and in everything and have become central to economics and politics worldwide.”
Taiwan, the leading producer in the microchip industry, reigns supreme with its unrivaled production equipment and tactics. It accounts for over 90% of all chips produced. However, the production tycoon has recently become a concern for economists because it is on the verge of a perilous energy crisis that has the potential to devastate the chip industry and global economy: Taiwan is running out of energy to support its production ambitions. With four major power outages in the last eight years, this mounting dilemma is beginning to impede the lives of the public.
It is the most rudimentary of problems in such a context. After all, one would expect an economic empire to have enough electricity to at least sustain itself, if not profit off of it.
However, in Taiwan’s case, the energy crisis extends beyond just capacity building. It includes intimidating political tension and excessive foreign independence, with Taiwan importing 90% of its fossil fuels. Taiwan’s excessive dependence on imported energy has laid the foundation for the demise of its economy. The constant political threat of invasion and blockage from China has required Taiwan to focus more on specialization so that China’s invasion would be catastrophic to the global economy and would thus involve other nations.
Companies like NVIDIA and the Taiwan Semiconductor Manufacturing Corporation have claimed that the manufacturing equipment is rigged to a kill switch, which can be activated remotely anytime. Thus, if China were to invade, global microchip production would decrease by a magnitude of 10.
“I think that microchips are an important measure for Taiwan to prevent conflict because other countries are compelled to protect their interests in Taiwan,” junior Daniel Kardos said. “The industry indirectly deters China from invading.”
While Taiwan has established an economic incentive to maintain its independence, in reality, its infrastructure will remain, and China will reap immense profit if it can conquer the island. Moreover, China has maintained a strong foothold on Taiwan’s diplomacy, preventing its induction into the United Nations despite its strong attendance in climate change meetings.
The other alternative for power, renewable energy, also comes with its own stipulations. Solar panels will not substantially substitute fossil fuels because of the nature of Taiwan’s small size and large population. Even the free space is mountainous, rendering it expensive and inefficient for solar panel installation. Taiwan’s small square mileage per capita eliminates the possibility of rooftop solar since roofing typically holds public utilities or helipads.
“Not having enough renewable energy to use could be detrimental to the environment because most other sources of fuel/energy aren’t very good for it,” sophomore Luke Zhong said.
Offshore wind is another possible fix, but it requires a lot of time, resources, and investment, most of which is funneled into the chip industry.
The last option for Taiwan to remedy its dilemma is nuclear power plants. Even though this solution seems promising, Taiwan has pledged to close its last remaining nuclear reactor by 2025. However, there are doubts regarding the credibility of this claim as a testament against nuclear weapon proliferation and waste.
The president of Taiwan continues to reinforce that Taiwan will be nuclear-free by the set goal of 2025: “Restarting the Nuclear Power Plant initiative is not an option because a referendum in 2021 vetoed the proposal,” Taiwanese President Tsai Ing-Wen said.
The discontinuation of nuclear power aligns with a global movement to retire the energy source because of the high cost, catastrophic risk and moral conflicts.
As the quantity and development of microchip production and research continue to soar with emerging technologies like chips that use photons instead of electrons to carry electricity, Taiwan’s ability to maintain its status as a microprocessor tycoon threatens to plummet.
Although we may not always recognize it, behind every device is Taiwan’s plea for independence and mercy, consequent to a tumultuous political conflict that can instantly change the reality of not just Taiwan’s economy but the world as we know it.