Analysis: Money no object as governments race to build chip arsenals


FILE PHOTO: An Intel Tiger Lake chip is displayed at an Intel news conference during the 2020 CES in Las Vegas, Nevada, U.S. January 6, 2020. REUTERS/Steve Marcus/File Photo

(Reuters) - Governments around the world are subsidizing the construction of semiconductor factories as a chip shortage hobbles the auto and electronics industries and highlights the world's singular dependence on Taiwan for vital supplies.

But beyond a consensus that something must be done to diversify supplies, divisions over strategy are emerging along with concerns that free-spending governments could spur over-building in an industry that has historically been highly cyclical.

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