Crisis Management for a Conflict with North Korea

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Former digital minister warns TSMC faces rising cybersecurity risks

Focus Taiwan | English | News | Dec. 12, 2025 | Cyber Attacks and Data Loss

Former Digital Affairs Minister Huang Yen-nun warned that Taiwan Semiconductor Manufacturing Co. (TSMC) faces increasing cybersecurity risks that could severely impact Taiwan's semiconductor dominance. Highlighting TSMC's "too big to fail" status, Huang emphasized that cyber and digital threats now pose the most serious challenges, surpassing issues like water and electricity supply. He identified state-backed hackers, primarily linked to China, and profit-driven ransomware gangs targeting TSMC and its supply chain as the main adversaries. Despite robust defenses, vulnerabilities persist due to outdated systems, supply chain weaknesses, and human errors, compounded by the company’s vast size and reliance on external equipment.

Former Vice Premier Shih Jun-ji underscored TSMC's critical role in Taiwan, the global AI industry, and U.S. semiconductor strategy. Notably, TSMC's market value exceeds Taiwan’s annual GDP, symbolizing both national pride and a strategic warning. Shih noted that U.S. investments in TSMC are part of efforts to bolster domestic semiconductor capacity, while citing a U.S. defense figure's stark warning about the potential destruction of TSMC to prevent it falling into enemy hands. Shih also referenced Taiwan's strategic leverage, including recent export controls imposed—then suspended—against South Africa over diplomatic disputes, highlighting Taiwan's use of chip export regulations as a geopolitical tool amid ongoing bilateral negotiations.

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