Taiwan Plans To Launch AI Projects To Add $510Bn To Economy

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In Summary

  • Taiwan aims to leverage its ICT sector and world-leading semiconductor manufacturing capabilities to become a global AI influencer
  • Taiwan has identified three core technologies as silicon photonics, quantum technology and AI robotics
  • Taiwan also hopes to become a key hub for AI robotics by tapping its hardware and ICT supply chains
  • Initiative targets the creation of 500,000 jobs and the establishment of three international-level research laboratories


Catenaa, Wednesday, July 23, 2025- Taiwan plans to launch its AI infrastructure projects aimed at adding  $510 billion to the economy by 2040 as the island nation strives to be a global leader in AI.

Premier Cho Jung-tai said in a Facebook post late on Tuesday that Taiwan aims to leverage its information and communications technology (ICT) sector and world-leading semiconductor manufacturing capabilities to become a global AI influencer and a “smart technology island.”

Under the “Ten Major AI Infrastructure Projects” initiative, Taiwan has identified three core technologies as strategic priorities: silicon photonics, quantum technology and AI robotics.

Silicon photonics is a technology that Taiwan’s TSMC, the world’s largest contract chipmaker, and many other firms in the industry are actively developing.

The government aims to position Taiwan as a global leader in silicon photonics by aligning the sector with future AI development needs.

Taiwan also hopes to become a key hub for AI robotics by tapping its hardware and ICT supply chains.

Industry groups, including one led by Foxconn Chairman Young Liu, have backed the move with the formation of the Taiwan AI Robotics Industry Grand Alliance on Tuesday to support the local development of AI robotics and related ecosystems.

Taiwan also plans to establish a quantum technology industry chain.

The 10 projects also include the development of sovereign AI, ability to build and control domestic AI technologies, and computing infrastructure, efforts to balance AI development across different regions of the island, and the introduction of AI across a wide range of industries.

The government also calls for expanding investment in AI innovation, with more than $3.08 billion in venture capital funding, as it seeks to become a global hub for AI talent and investment.

The initiative targets the creation of 500,000 jobs and the establishment of three international-level research laboratories.

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