Taiwan Semiconductor Manufac-turing Co (TSMC, 台積電), the world's largest made-to-order chipmaker, yesterday denied media reports that it is investing in a Chinese integrated-chip (IC) design house in an attempt to expand its customer lineup.
TSMC's chairman Morris Chang (張忠謀) yesterday called for the intervention of the Minister of Economic Affairs, Ho Mei-yueh (何美玥), saying that the company's investments in China complied with government regulations and it would therefore not invest in Chinese IC design companies.
Chang's statement came after the Chinese-language press reported yesterday that TSMC was planning to invest in a handset IC design house to be jointly established by China's heavyweight home-appliance maker TCL Corp and venture capital firms.
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Ho cited Chang as saying that TSMC did not plan to cultivate potential clients through Hu and that the company's policy dictated that former employees could not work for its competitors.
Robert Tsao (曹興誠), founder of TSMC's smaller rival United Microelectronics Corp (UMC, 聯電), was indicted last week for alleged illegal investing in his company's Chinese competitor He Jian Technology (Suzhou) Co (和艦) by providing the company with technological know-how.
TSMC runs a fab in Shanghai with the government's permission, using 0.25-micron processing to manufacture 8-inch wafers. Beijing does not allow Taiwan's semiconductor manufacturers to use more advanced 0.18-micron technology in their fabs in China.
TSMC's Shanghai fab is expected to see its 8-inch-wafer shipments double to 30,000 units next year from 15,000 units this year, to meet fast-growing demand in the Chinese market, local press yesterday cited TSMC's vice chairman Tseng Fan-cheng (曾繁城) as saying at a company forum held in Beijing on Monday.
Meanwhile, UMC, the world's second-largest contract chipmaker, announced in a statement on Monday that it has seen its 90-nanometer-wafer shipments surpass 100,000 units, making it a global leader in wafer volume and using the most advanced technology available.
UMC has been leading foundries worldwide in total shipments as well as overall revenue generated from 90-nanometer-wafer sales, the statement said.
The company shipped over 10,000 wafers using advanced 90-nanometer technology during last month alone, and expected its monthly shipments to double by the fourth quarter of this year, driven by strong demand for communication products, consumer electronics and personal computers, UMC said.
Revenue created from its 90-nanometer processed chips is expected to increase to 15 percent of total revenue by the end of this quarter, up from 9 percent in the second, and to hit 20 percent in the last quarter, it said.
UMC manufactured over 20 kinds of chips using the advanced technology process for clients including Xilinx Inc and Texas Instruments, for use in leading-edge wireless and wired communications products, high-end consumer electronics as well as advanced computing.
TSMC shares closed unchanged at NT$52 while UMC shares closed up 0.95 percent at NT$21.3 on the Taiwan Stock Exchange yesterday.
The US dollar was trading at NT$29.7 at 10am today on the Taipei Foreign Exchange, as the New Taiwan dollar gained NT$1.364 from the previous close last week. The NT dollar continued to rise today, after surging 3.07 percent on Friday. After opening at NT$30.91, the NT dollar gained more than NT$1 in just 15 minutes, briefly passing the NT$30 mark. Before the US Department of the Treasury's semi-annual currency report came out, expectations that the NT dollar would keep rising were already building. The NT dollar on Friday closed at NT$31.064, up by NT$0.953 — a 3.07 percent single-day gain. Today,
‘SHORT TERM’: The local currency would likely remain strong in the near term, driven by anticipated US trade pressure, capital inflows and expectations of a US Fed rate cut The US dollar is expected to fall below NT$30 in the near term, as traders anticipate increased pressure from Washington for Taiwan to allow the New Taiwan dollar to appreciate, Cathay United Bank (國泰世華銀行) chief economist Lin Chi-chao (林啟超) said. Following a sharp drop in the greenback against the NT dollar on Friday, Lin told the Central News Agency that the local currency is likely to remain strong in the short term, driven in part by market psychology surrounding anticipated US policy pressure. On Friday, the US dollar fell NT$0.953, or 3.07 percent, closing at NT$31.064 — its lowest level since Jan.
Hong Kong authorities ramped up sales of the local dollar as the greenback’s slide threatened the foreign-exchange peg. The Hong Kong Monetary Authority (HKMA) sold a record HK$60.5 billion (US$7.8 billion) of the city’s currency, according to an alert sent on its Bloomberg page yesterday in Asia, after it tested the upper end of its trading band. That added to the HK$56.1 billion of sales versus the greenback since Friday. The rapid intervention signals efforts from the city’s authorities to limit the local currency’s moves within its HK$7.75 to HK$7.85 per US dollar trading band. Heavy sales of the local dollar by
The Financial Supervisory Commission (FSC) yesterday met with some of the nation’s largest insurance companies as a skyrocketing New Taiwan dollar piles pressure on their hundreds of billions of dollars in US bond investments. The commission has asked some life insurance firms, among the biggest Asian holders of US debt, to discuss how the rapidly strengthening NT dollar has impacted their operations, people familiar with the matter said. The meeting took place as the NT dollar jumped as much as 5 percent yesterday, its biggest intraday gain in more than three decades. The local currency surged as exporters rushed to