ASML and the Geopolitics of Chip Making

I came across this interesting article about a company named ASML. While I had never heard of it, it sounds critical for chip making and powering Nvidia and the AI industry we see today.

ASML machines create “the stencil, if you will, of where those transistors go and what their shapes are.” There are lots of other steps and crucial actors in semiconductor fabrication, but to start, you need that stencil.

The very fascinating—and potentially upsetting based on your geopolitical views—part is that the US is exerting its power to try to ensure China cannot access these ASML machines, aiming to prevent China from accelerating its own chip making and AI development.

Even though ASML is a Dutch company, it’s still subject to US export controls for the simple reason that some of its 100,000 parts are made in America.

So just like the headline of the article notes, this niche company is right at the core heart of the US vs. China AI race.