Taiwan's Digital Development Policy
Taiwan's Digital Development Policy
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Taiwan has become a key hub in the global high-tech industry, with leading advantages in semiconductors and information and communications technology (ICT). In the semiconductor sector, Taiwan holds over 60%–70% of the global foundry market, ranking first worldwide, with TSMC alone accounting for more than 70%. In advanced process technologies (below 5nm), Taiwan commands over 90% market share, making it a critical backbone for the development of artificial intelligence (AI) and high-performance computing (HPC).
In the broader IC industry, Taiwan accounts for over 23% of the global market, ranking second worldwide. Its IC design sector also exceeds 15% market share, maintaining a top-tier global position. The total semiconductor output value surpasses USD 160 billion, highlighting Taiwan’s strong industrial capabilities. In the ICT and hardware manufacturing sector, Taiwan leads globally in products such as laptops, motherboards, and servers, while playing a vital role in the supply chain for cloud computing and data center infrastructure.
Taiwan also demonstrates significant potential in AI development. Leveraging its advanced semiconductor manufacturing and AI chip supply capabilities, Taiwan has become a crucial enabler of global AI computing infrastructure. Its comprehensive ICT ecosystem provides strong integration advantages in AI servers, edge computing devices, and data center deployment. At the same time, Taiwan is actively promoting AI adoption across various sectors, including smart manufacturing, smart healthcare, and smart cities, gradually transforming from a hardware supplier into a provider of integrated hardware-software solutions.
With strong government support and continuous industrial innovation, Taiwan is enhancing AI research and talent development while accelerating commercialization through public-private-academic collaboration. Overall, by combining its semiconductor strengths, ICT capabilities, and rich application experience, Taiwan is well-positioned to evolve from a key supplier in the global AI value chain into a high-value solution provider, further solidifying its critical role in the global technology landscape.

Taiwan has become a key hub in the global high-tech industry, with leading advantages in semiconductors and information and communications technology (ICT). In the semiconductor sector, Taiwan holds over 60%–70% of the global foundry market, ranking first worldwide, with TSMC alone accounting for more than 70%. In advanced process technologies (below 5nm), Taiwan commands over 90% market share, making it a critical backbone for the development of artificial intelligence (AI) and high-performance computing (HPC).
In the broader IC industry, Taiwan accounts for over 23% of the global market, ranking second worldwide. Its IC design sector also exceeds 15% market share, maintaining a top-tier global position. The total semiconductor output value surpasses USD 160 billion, highlighting Taiwan’s strong industrial capabilities. In the ICT and hardware manufacturing sector, Taiwan leads globally in products such as laptops, motherboards, and servers, while playing a vital role in the supply chain for cloud computing and data center infrastructure.
Taiwan also demonstrates significant potential in AI development. Leveraging its advanced semiconductor manufacturing and AI chip supply capabilities, Taiwan has become a crucial enabler of global AI computing infrastructure. Its comprehensive ICT ecosystem provides strong integration advantages in AI servers, edge computing devices, and data center deployment. At the same time, Taiwan is actively promoting AI adoption across various sectors, including smart manufacturing, smart healthcare, and smart cities, gradually transforming from a hardware supplier into a provider of integrated hardware-software solutions.
Minister Yi-Jing Lin, Ministry of Digital Affairs (moda)