TAIPEI (Taiwan News) — Former Intel CEO Pat Gelsinger warned that a Chinese blockade cutting off Taiwan’s energy imports could halt chip production and damage the global economy, Benzinga reported Friday.
Speaking during an interview with “All-In Podcast” co-host Jason Calacanis, Gelsinger said global dependence on Taiwan’s chip industry poses a major economic risk. Taiwan produces many advanced chips used in everyday technology, and a prolonged disruption could affect industries worldwide.
“When you turn off a fab, it does not come back on for 90 days,” Gelsinger said, referring to a semiconductor factory. He said the economic impact of even a partial disruption to Taiwan’s power supply could be greater than that of the Great Depression.
Semiconductor factories need a stable electricity supply to operate complex equipment and maintain tightly controlled production conditions. An unexpected shutdown can damage unfinished chips and delay production long after power is restored, CNA reported.
Turning to Intel’s competitive position, Gelsinger discussed the company’s loss of ground to rivals such as Taiwan Semiconductor Manufacturing Co. and Samsung Electronics. He said years of leadership without enough technical experience contributed to the decline.
