February12, 2007:
Armed forces are very dependent on microcomputers, particularly
laptops, to carry out operations. For that reason, a Chinese attempt to take
Taiwan by force would have a disastrous impact on the availability of military
grade computers. That's because Taiwan, and Taiwanese owned companies in China,
produce 18 percent of the world's supply of DRAM memory (the "RAM" every laptop
and desktop PC needs to operate), as well as 98 percent of computer
motherboards (every PC has one), 72 percent of LCD monitors and 82 percent of
laptop computers. Last year, Taiwanese companies produced $54 billion worth of
computers and computer components (43 percent on Taiwan, most of the rest in
China). The U.S. produced $88 billion worth of computer equipment, and Japan
$45 billion. China produced $25 billion worth, mainly via Taiwanese owned and
run companies. A war between China and Taiwan would interrupt most of the
planets laptop and LCD display production, as well as large percentages of
other PC components. It would take over a year to start replacing the lost
production elsewhere in the world. Those with money could still get laptops and
DRAM, but they would have to get over the skyrocketing eBay prices first. While
all this is happening, China is losing major export markets and facing
widespread unemployment and economic collapse. It would appear that Taiwan's
best defense against attack is to keep everyone aware of the consequences.