In an attempt to calm the jittery equity market, National Development Council
chair Ye Jun-xian (葉俊顯) said he believes the the effects of a pull-back in
U.S. tech stocks on Taiwan will be temporary.

He explained that Taiwan's hardware-focused technology companies have strong
orders through the end of next year and sufficient cash flow, and major
companies also have various financial management options available.

Ye added that the recent plunge in U.S. technology shares reflects concerns
about whether massive AI investments will generate sufficient returns,
particularly in the software sector.



He said determining the returns on these investments will take time and will
also depend on the pace of development in physical AI, which brings
artificial intelligence into real-world operations.

He noted that physical AI is primarily reflected in robotics and autonomous
driving, both of which require substantial computing power and a longer
period of time.


(JL)