TSMC pours another $100 billion into Phoenix chips making

Taiwanese chip giant TSMC will spend another $100 billion to expand chip-making capacity in Arizona, the company announced on its quarterly earnings call this morning.

Why it matters: That brings the company's total Arizona investment to $265 billion — the largest foreign direct investment in the U.S. by a wide mile.

The latest: The money will reportedly cover the construction of four new plants making chips with the most cutting-edge technology currently available, Bloomberg reports (gift link).

• The new factories will likely be located on 900 acres of land near its existing north Phoenix site that the company purchased earlier this year, per the New York Times.

The big picture: The new investment comes amid booming results for the world's largest contract chipmaker.

• The company reported a 77% increase in quarterly profits, per CNBC, as AI demand remains unrelenting.

The intrigue: The Arizona expansion will address a key concern for the Trump administration: Making as many chips as possible outside of Taiwan, where tensions with China are a constant threat to the supply chain.