ASML CEO Christophe Fouquet dismisses rivals, defends monopoly in AI chip machines

ASML CEO Christophe Fouquet, in an interview at the Milken Institute Global Conference in Beverly Hills, dismissed claims that startups or Chinese reverse-engineering pose a threat to his company's monopoly on extreme ultraviolet lithography (EUV) machines. ASML, a 42-year-old Dutch firm with 44,000 employees and a market cap over $530 billion, spends €4.5 billion annually on R&D. Its EUV machines, costing $200-$400 million, are essential for producing advanced AI chips. Fouquet noted that demand from Microsoft, Meta, Amazon, and Google—committing over $600 billion in AI infrastructure—will keep the market supply-limited for years. He addressed TSMC's pricing concerns, arguing high-NA EUV machines reduce wafer costs by 20-30%. Regarding startup Substrate (backed by Peter Thiel), Fouquet said building a rival is extremely difficult, noting ASML took 20 years to develop EUV light. On xLight, a U.S.-backed laser startup, he said its source technology remains unproven. Fouquet denied reports of Chinese reverse-engineering, stating no EUV machines are in China and that the company maintains strict separation of EUV knowledge. He agreed with Nvidia CEO Jensen Huang on export controls, advocating for a generation gap in sales to China. Fouquet expressed confidence in ASML's technological lead, citing decades of accumulated expertise.