By Prabhjote Gill
Publication Date: 2026-05-24 09:41:00
-
In an exclusive interview with Stocktwits, former Goldman Sachs executive Michael Parekh called TSMC the “Federal Reserve of the global tech market” because of its control over advanced chip production capacity.
-
Parekh stated that Jensen Huang is “flying to Taiwan almost every month” to ask TSMC for more production capacity.
-
Nvidia CEO Jensen Huang recently projected that AI infrastructure spending could reach $3 trillion to $4 trillion by the end of the decade, but Parekh said it could be higher if TSMC can expand supply.
Chief executive Jensen Huang told investors on Nvidia’s ($NVDA) earnings call that customers are on track to spend $3 to $4 trillion on AI infrastructure by the end of the decade. According to Michael Parekh, a former Goldman Sachs executive who now runs the AI: Return to Zero Substack, the number is probably conservative, and a single company in Taiwan gets to decide whether it happens.
“That they are the gating factor,” Parekh said of Taiwan Semiconductor Manufacturing Company (TSMC) in an exclusive Stocktwits interview with Michele Steele. “Jensen’s flying to Taiwan almost every month, basically telling his friends at TSMC: please, here’s another hundred billion, make me extra fabs. But the TSMC guys are not doing it.”
“TSMC is the Federal Reserve of the global tech market. They…