Taiwan Plans $510 Billion AI Projects to Boost Economy

Taiwan is aggressively advancing its position as a global leader in artificial intelligence through its "Ten Major AI Infrastructure Projects" initiative, which aims to generate over $510 billion in economic value by 2040. The government is focusing on strategic technologies including silicon photonics, quantum technology, and AI robotics, leveraging Taiwan's world-class semiconductor industry, particularly TSMC. In 2025, Taiwan’s semiconductor and AI supply chains have demonstrated robust export growth despite global uncertainties, with TSMC reporting significant profit increases driven by demand for advanced chips used in AI applications. TSMC is also expanding globally, investing billions in new fabrication and packaging plants in the U.S. and Europe to mitigate geopolitical risks and support AI innovation. The island’s cloud infrastructure is rapidly growing, supported by significant investments from both local firms and international tech giants like AWS, which is enhancing digital transformation across industries. Collectively, these developments are establishing Taiwan as a pivotal hub for AI talent, investment, and technology in the global tech ecosystem.