TSMC, the world’s largest contract chipmaker, will take a 20% stake in the new company, the report said.

This sounds like a dead on arrival project. Why would TSMC put anything but the most token effort in this project when they have their own competitive world class business?

This seems like this JV was made exclusively for political reasons. JV in general have a mixed history in terms of performance. It’s often difficult to align the needs and priorities of two competing organizations.