ASML CEO: No Rivals in Chipmaking Equipment, and None Coming

Christophe Fouquet, who took over as head of ASML in 2024, gave an interview to TechCrunch at the Milken Institute Global Conference in Beverly Hills. His main message: ASML remains the only serious maker of the extreme ultraviolet lithography equipment needed to produce the world's most advanced microchips.

Why ASML Is Priceless

ASML has a monopoly on EUV scanners, extremely complex machines that cost about $150 million each. The scanners are required to produce chips on 7 nm, 5 nm and 3 nm process nodes, and on even more advanced ones. Without them, it is impossible to make modern processors, graphics cards and AI accelerators.

Intel, Samsung, TSMC and other semiconductor giants depend entirely on ASML deliveries. They cannot develop their own equipment: the technology is too complex and requires decades of research and billions of dollars in investment. ASML has spent more than 30 years building its machines, pooling the expertise of thousands of engineers.

Competition?

There Is None

China and other countries are actively trying to develop their own EUV systems, but no one will be able to repeat ASML's success in the next decade. The technology gap is at least 5–10 years.

Export restrictions complicate the picture. The US and its allies have imposed sanctions on shipments of ASML's most advanced equipment to China, which makes American-European control even tighter. Without access to modern EUV scanners, China will not be able to catch up with Western countries in advanced chipmaking.

Fouquet named several obstacles for potential competitors:

• R&D investment requirements of $3–5 billion over 10+ years
• Critical human capital: finding that many engineers is hard
• Export bans on key components
• Growing demand that ASML barely manages to meet

A Growing Geopolitical Role

Demand for EUV scanners is hitting record levels. Every country is rushing to develop its own AI chips and more powerful processors, and that is impossible without ASML. The waiting list for new machines already exceeds 3 years.

This gives ASML rare bargaining power. The company can dictate terms to customers, from prices to political requirements. ASML is not just an electronics supplier; it is a chokepoint in the global technology chain, on which the development of AI, computing power and the security of leading countries depend.

What This Means

ASML is a rare example of an absolute monopoly in a critical technology of global importance. Its position is unassailable as long as the company stays independent and does not come under pressure to transfer technology to third countries.

However, the monopoly also makes ASML a target. Non-governmental actors and states will almost certainly try to influence the company politically or economically. ASML will have to navigate between the interests of the US, Europe, China and other powers, which is no easy task.