What is Warren buffet famous for? Besides always can earn 3000% or 4000% in a single stock, he is famous for buying at low, and that’s why he an earn so much. But this time, there is an exception. He bought TSM at record high but news was kept secret. In Q3 2022 he purchased TSM 60.1 million shares, but sold in Q1 2023 and now what is he doing? He sold BYDDY, looked bad on Chinese economy and bought TSM, looked good on Taiwan economy. Why he dares to buy at record high that few people would do? Because another battle of AI already started, no matter domestically or in overseas.
There is a triangle of Infinite Money Glitch among OpenAI, ORCL and NVDA. These 3 are surely one of the hottest topics of the market recently.
The battle on AI has already started. Why we have to study and DYOR (Do Your Own Research) in this triangle. The answer is on the last sentence of page 7. Each company benefits from others growth. Anyway, they united together to face the keen competition outside. Who is the greatest beneficiary? It is outside the triangle. That is TSMC.
What is the greatest barrier of their success? Not competitors from China like Alibaba or Huawei, their threats are quite limited, will explain in the next few days. It is of the following:
A new presidential proclamation has imposed a mandatory $100,000 fee on most new H-1B cases tied to workers outside the country, effective 12:01 a.m. EDT on September 21, 2025.
Why US can develop atomic bomb earlier than Germany? It is because all talented people are concentrated to US.
Why US can defeat Soviet Union in Space Race and landed on Moon first? It is because all talented people are concentrated to US.
Why the Landing On Mars US can be earlier than China? It is because all talented people are concentrated to US.
Why Wall Street and Silicon Valley on exist in US and other countries cannot reproduce? It is because all talented people are concentrated to US.
Why the 100 topmost university, over half are in US? It is because all talented people are concentrated to US.
So, what points we have to mind? In short term is the union of the triangle which is facing new competition, and for other companies that need to survive, should form similar unions.
In medium term is the battle on AI will be more furious, therefore there is no need to worry about bubble economy, if Warren Buffet dare to buy on record high, that means a new page has been turn on, or even a new chapter and not just a page has been turned on. So just like the sudden test of rotation direction of Milky Way, no matter what you answer will be correct. If the market keeps on rising, no matter at what level you buy, you can win. If you do not buy cannot win.
In the long run, immigration policy is over all others. It must be well controlled but not banning talented people to come in or else the current system will collapse.