ByteDance and Broadcom Collaborate on AI Chip Amid US-China Trade Tensions

The partnership aims to develop a 5nm AI processor, with manufacturing outsourced to TSMC to comply with export restrictions.

The collaboration targets the creation of a 5-nanometer application-specific integrated chip (ASIC).
ByteDance seeks to secure a stable supply of advanced chips for its AI-driven platforms like TikTok and Douyin.
TSMC will handle the manufacturing, but production is not expected to start this year.
The deal navigates US export restrictions, potentially setting a precedent for future tech partnerships.
ByteDance has been stockpiling Nvidia and Huawei chips to support its AI advancements.