Jos Benschop climbs atop his company's latest creation—a 150-ton, double-decker bus-sized machine that represents the cutting edge of semiconductor manufacturing. ASML's new extreme-ultraviolet lithography system stands over 15 feet tall, packed with precision-milled aluminum components and thousands of tubes and cables. The Dutch company dominates the global chipmaking supply chain, producing roughly 90% of all lithography tools worldwide.

The machine achieves an unprecedented 8-nanometer resolution, carving features just 40 silicon atoms wide—down from 13 nanometers in previous models. This improvement comes from EUV technology that generates light by vaporizing molten tin droplets with lasers, operating in a vacuum since EUV is absorbed by both air and conventional lenses. Each unit sells for $400 million, but chipmakers eagerly pay because denser circuits mean faster, more energy-efficient processors.

ASML and TSMC form an effective duopoly controlling the entire microchip industry. The US-China tech war directly impacts this market—Dutch export restrictions prevent ASML from selling advanced machines to Chinese firms since 2019. This geopolitical leverage makes chips 'the new oil' in global commerce.

Startups like Substrate now challenge ASML's dominance, developing cheaper, smaller lithography alternatives. Yet the technical barriers remain enormous—EUV development required 16 years and $10 billion in R&D. For now, ASML's machines remain indispensable for AI hardware advancement.