ASML dominates chip-making tech, key to AI growth, faces supply challenges and rivals.

ASML, a Dutch company, holds a monopoly on extreme ultraviolet lithography machines essential for advanced chip production powering AI. Despite surging demand from major US tech firms investing heavily in AI, ASML faces supply chain bottlenecks limiting chip availability for years. The company defends its high-cost machines as cost-effective over time and dismisses rival startups' claims to replicate its technology, citing decades of expertise and complex manufacturing. Geopolitical tensions arise from concerns about reverse engineering in China, but ASML denies any unauthorized technology transfer. The company engages in ongoing dialogue with US authorities on export controls to balance business opportunities and national security.