It is reported that Liu’s position in TSMC was already fragile due to ex-CEO Morris Chang’s disapproval of U.S. collaboration. Although TSMC’s founder has held no official position at the company since 2018, he is apparently personally influential enough for his opinion to matter. Chang has been skeptical of the CHIPS Act and attempts to build new fabs in America, and this reflected poorly on Liu’s position. According to this theory, the chairman was already on thin ice with his support for TSMC-U.S. cooperation, and the problems at Fab 21 were the final straw.