💻 TSMC Invests $100 Billion Dollars In U.S. Chip Manufacturing

In today’s newsletter we discuss TSMC invests $100 billion dollars in U.S. chip manufacturing, BlackRock buys ports at both ends of the Panama Canal to avoid U.S. threat of canal takeover, Kevin Rose and Alexis Ohanian are bringing back Digg, Katy Perry, Gayle King, and Lauren Sanchez and flying on the next Blue Origin rocket launch, Meta is launching a standalone AI app, and the Eagles secure Saquon Barkley with a two-year, $41.2 million dollar contract extension.

Scroll on!

WHAT WE’RE READING

💻 TSMC Invests $100 Billion Dollars In U.S. Chip Manufacturing

TSMC is making a monumental $100 billion investment in U.S. chip manufacturing, signaling a powerful resurgence in the nation's semiconductor industry.

The Taiwanese chip giant's commitment to building and expanding advanced fabrication facilities in Arizona will dramatically increase domestic chip production capacity. This directly addresses the critical need to reduce reliance on vulnerable overseas supply chains.

This move is particularly significant due to the focus on advanced packaging, a vital component in producing the high-performance semiconductors essential for emerging technologies like artificial intelligence. The impact will be profound, strengthening the U.S.'s ability to innovate and compete in the global tech landscape.

Beyond bolstering production, TSMC's investment promises to ignite economic growth and generate substantial job creation.

The construction and operation of these state-of-the-art facilities will create thousands of high-paying jobs in manufacturing, engineering, and related sectors, injecting vitality into local economies and stimulating broader national economic activity.

This strategic move solidifies the U.S.'s position as a leader in technological innovation. By bringing cutting-edge chip manufacturing capabilities to American soil, TSMC is fostering an environment conducive to the growth of industries reliant on advanced semiconductors, including telecommunications, automotive, and artificial intelligence.

TSMC's investment strengthens U.S. national security. Increased domestic chip production mitigates the risk of supply chain disruptions that could compromise critical infrastructure and military systems. In an era of escalating geopolitical tensions, particularly concerning Taiwan and China, securing domestic chip production capacity is paramount. The ability to manufacture advanced semiconductors within the U.S. provides a vital safeguard, ensuring a stable supply of these essential components and reinforcing the nation's strategic autonomy. This investment is a very strong move for the US, and greatly reduces the risk of supply chain problems in the event of any issues with China.

🪨 Business

BlackRock has signed a $23 billion agreement to purchase ports at both ends of the Panama Canal from CK Hutchison, a Hong Kong-based ports conglomerate with ties to China. This transaction effectively transfers operational control of these strategically vital ports to a U.S.-based entity, marking a significant development in the canal's administration.

This deal didn’t just happen out of the blue. I’m guessing there was some backchanneling between the current Trump Administration and Larry Fink, CEO and Chairman of BlackRock, which is the world's largest asset manager.

The acquisition stemmed from concerns that the operation of these critical ports by a Hong Kong company, with its perceived ties to mainland China, posed a potential strategic risk. This issue gained prominence, particularly with President Trump expressing unease over the previous ownership structure.

The Panama Canal serves as a crucial artery for global commerce, facilitating the transit of an immense volume of trade annually. Each year, the canal sees over 14,000 vessels pass through its locks, carrying more than 500 million tons of cargo. This translates to an estimated $270 billion in cargo value moving through the canal, representing roughly 6% of global trade. The economic impact is substantial, influencing the movement of goods and resources on a global scale, and directly affecting industries from shipping to retail. The canal's toll revenues alone generated around $4.9 billion dollars in 2024 for Panama.

The canal's history is deeply intertwined with the United States, which oversaw its construction and initial operation. Control was then handed over to Panama in 1999, signifying a shift in the waterway's governance.

BlackRock's $23 billion investment in the Panama Canal ports represents a shrewd business maneuver. By securing control of these pivotal assets, the company has positioned itself to play a key role in the global supply chain, while also bringing these strategically important ports under US based control.

⛏ Tech

Kevin Rose and Alexis Ohanian have acquired Digg, and are planning to relaunch the once-dominant social news platform in the next few months. The duo, leveraging their experience in building online communities, aim to revive Digg's original spirit. In its heyday, Digg was hailed as the "homepage of the internet," attracting a massive 40 million monthly unique visitors back in 2012. The platform's user-driven news aggregation model, which empowered users to curate content, revolutionized online information sharing. Now, Kevin Rose and Alexis Ohanian intend to bring back that community-focused approach, adapting it for today's digital landscape.

Kevin Rose is a well-known entrepreneur and venture capitalist. He gained prominence as the founder of Digg in 2004, pioneering a new form of social news aggregation. His career has also included ventures like Revision3, a popular internet television network, and significant involvement in the venture capital world, notably as a partner at True Ventures. Kevin Rose's expertise lies in identifying and fostering emerging technologies and online communities. His ability to anticipate trends in online behavior has been a key factor in his success.

Alexis Ohanian is another influential figure in the tech world, best known as the co-founder of Reddit. He played a crucial role in shaping the platform into one of the internet's largest and most vibrant online communities. Beyond Reddit, Alexis Ohanian has established himself as a successful venture capitalist through his firm, Seven Seven Six, investing in a wide range of tech startups. He has also been a vocal advocate for an open internet. Alexis Ohanian's success stems from his deep understanding of online community dynamics and his ability to identify and support disruptive technologies. Their combined experiences, both originating from the early social web, brings a unique perspective to the relaunch of Digg.

The prospect of two industry OGs like Kevin Rose and Alexis Ohanian teaming up to resurrect Digg 2.0 is generating considerable excitement. Their proven track records in building and nurturing online communities, coupled with their deep understanding of the internet's evolution, make them uniquely positioned to breathe new life into this iconic platform. The digital landscape is ripe for a revitalized Digg, and the collaboration of these two influential figures promises an intriguing chapter in the story of online social news.

🤖 AI

Meta is set to escalate its AI ambitions with the planned release of a standalone "Meta AI" app in the second quarter of 2025.

Meta is "aiming to compete" with OpenAI and Google, because throwing another AI chatbot into the ring is exactly what the world needs right about now. Let’s not forget the potential subscription models they’re surely workshopping pricing models for as we speak!

Right now Meta’s AI is integrated within platforms like Facebook and Instagram, but the new app aims to provide a dedicated, streamlined AI experience.

The launch signifies Meta's push for greater monetization in the AI space, with potential subscription models mirroring those of competitors. This app will give users access to all of Meta's AI tools in one location, including text conversations and image generation. With this move Meta is hoping to reach a massive amount of new users, and to become the leading AI assistant. Good luck with that!

🚀 Space

Blue Origin has announced a groundbreaking upcoming spaceflight featuring a high-profile all-female crew. Pop star Katy Perry, journalist Gayle King, and Lauren Sanchez, who is engaged to Blue Origin’s founder Jeff Bezos, will embark on a suborbital journey aboard the New Shepard rocket.

This mission marks a significant moment, representing one of the first all-female spaceflights in decades. The crew will experience brief moments of weightlessness and breathtaking views of Earth. Lauren Sanchez played a role in assembling this crew of remarkable women. This flight is intended to inspire future generations, particularly young women, to pursue their dreams in STEM fields.

🏈 Sports

The Philadelphia Eagles have made a major splash in the NFL, and I’m not just talking about their Super Bowl win over the Kansas City Chiefs. The Eagles have secured Saquon Barkley with a two-year, $41.2 million dollar contract extension. This deal elevates Saquon Barkley to the NFL's highest-paid running back, signaling the Eagles' aggressive approach after their Super Bowl victory.

Saquon Barkley's dynamic playmaking adds a potent weapon to the Philadelphia Eagle's already formidable offense. The move shows the Eagles' commitment to maintaining their championship caliber by investing heavily in a star poised to make an immediate impact. As  a New York Giant’s fan, I may not like that we lost Saquon Barkley to the Eagles, but as a football fan it has been amazing watching him dominate each week. Can’t wait for the new NFL season to start!

Was this email forwarded to you? Did you not hate it?

Then consider subscribing to our quick hits irl Media NEWSLETTER. The only newsletter that brings you the business behind the news, with a healthy dose of sarcasm - all delivered to your inbox every Monday, Wednesday, and Friday in an easily digestible 5-minute read.

irl Media NEWSLETTER is written, edited, and published by Chris Thompson.