TSMC’s AI-driven profits expose global semiconductor oligopoly risks amid unchecked tech monopolization and supply chain fragility

TSMC’s record profits are not merely a story of AI demand but a symptom of a deeply entrenched geopolitical and economic system where technological sovereignty is concentrated in the hands of a few conglomerates and states, with Taiwan’s position as a flashpoint in U.

S.-China tensions adding further volatility. The industry’s growth has been fueled by decades of state subsidies, Cold War industrial policy, and the systematic exclusion of marginalized voices—from indigenous communities facing land grabs to migrant workers in exploitative conditions—while environmental degradation is treated as an externality rather than a crisis. Cross-cultural perspectives reveal alternative models, from South Korea’s state-backed champions to Africa’s open-source movements, yet these are sidelined in favor of a narrative that equates progress with corporate profit. Future-proofing requires dismantling this oligopoly through public investment in diversified production, enforceable environmental and labor standards, and the integration of indigenous and local knowledge into technological governance. Without such systemic shifts, the semiconductor industry’s dominance will deepen inequalities, exacerbate supply chain fragilities, and accelerate ecological collapse, all while being celebrated as inevitable progress.