Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s biggest contract chipmaker, expects to ship 1.5 million 28-nanometer (nm) wafers by the end of this year, riding on strong demand for mobile devices, a company executive said yesterday.
TSMC has cornered more than 90 percent of the worldwide advanced 28nm-chip market. In April, the company said that revenue generated from its 28nm chips for this year would be triple that of last year, driven by strong demand for smartphones and tablets.
Speaking at a Computex summit forum, Been-Jon Woo (金平中), director of TSMC’s business development unit, said the company had created a “unique” business model, dubbed “Grand Alliance,” to grow along with its customers, and the success of this strategy is evidenced by its robust 28nm chip business.
TSMC’s 28nm chip customers include US mobile phone chip designer Qualcomm Inc and Taiwan’s MediaTek Inc (聯發科). The company’s equipment for such advanced chips is likely to continue to be fully utilized as was the case last year, the company said earlier.
“This year, TSMC is forecast to ship 1.5 million 12-inch wafers on advanced 28nm process technology,” Woo said.
“Twenty-eight-nanometer [chips] will contribute greatly to the company’s revenue,” she said, adding that “mobile [device demand] is the driver.”
TSMC chairman Morris Chang (張忠謀) yesterday also voiced optimism for growth in cloud-based mobile products, as cloud technology has become one of the key areas of development for the mobile industry and has helped TSMC grow rapidly over recent years.
The company expects 28nm chips to make up at least 30 percent of its total revenue this year. Last quarter, TSMC made 24 percent of its NT$132.76 billion (US$4.44 billion) revenue from selling 28nm chips.
That gives the firm a significant edge, as local rival United Microelectronics Corp (聯電) said last month that it would not see a meaningful revenue contribution from 28nm chips before the end of the year.
Responding to questions on how to cope with growing competition from South Korean firms, Samsung Electronics Co in particular, Woo said TSMC is different from its competitors in that the company does not compete with its customers but concentrates on providing them with the most cost-effective products.
Separately, PC vendor Asustek Computer Inc (華碩) chief executive officer Jerry Shen (沈振來) yesterday said on the sidelines of the forum that the company plans to launch new tablets this fall, using Quaclomm’s latest processors for tablets, supporting 4G long-term evolution technology.
Shen also showcased the company’s new “Padfone Infinity,” equipped with Qualcomm’s Snapdragon 600 processor. The product is the third-generation of “phablet” devices developed by Asustek, which combine the function of a mobile phone with those of a tablet.
The forum was attended by a number of other technology heavyweights, including Steve Mollenkopf, president and chief operating officer of Qualcomm, and Ian Drew, chief marketing officer and executive vice president of business development at UK chip designer ARM Holdings PLC.
Additional reporting by CNA
SETBACK: Apple’s India iPhone push has been disrupted after Foxconn recalled hundreds of Chinese engineers, amid Beijing’s attempts to curb tech transfers Apple Inc assembly partner Hon Hai Precision Industry Co (鴻海精密), also known internationally as Foxconn Technology Group (富士康科技集團), has recalled about 300 Chinese engineers from a factory in India, the latest setback for the iPhone maker’s push to rapidly expand in the country. The extraction of Chinese workers from the factory of Yuzhan Technology (India) Private Ltd, a Hon Hai component unit, in southern Tamil Nadu state, is the second such move in a few months. The company has started flying in Taiwanese engineers to replace staff leaving, people familiar with the matter said, asking not to be named, as the
The prices of gasoline and diesel at domestic fuel stations are to rise NT$0.1 and NT$0.4 per liter this week respectively, after international crude oil prices rose last week, CPC Corp, Taiwan (台灣中油) and Formosa Petrochemical Corp (台塑石化) announced yesterday. Effective today, gasoline prices at CPC and Formosa stations are to rise to NT$27.3, NT$28.8 and NT$30.8 per liter for 92, 95 and 98-octane unleaded gasoline respectively, the companies said in separate statements. The price of premium diesel is to rise to NT$26.2 per liter at CPC stations and NT$26 at Formosa pumps, they said. The announcements came after international crude oil prices
DOLLAR SIGNS: The central bank rejected claims that the NT dollar had appreciated 10 percentage points more than the yen or the won against the greenback The New Taiwan dollar yesterday fell for a sixth day to its weakest level in three months, driven by equity-related outflows and reactions to an economics official’s exchange rate remarks. The NT dollar slid NT$0.197, or 0.65 percent, to close at NT$30.505 per US dollar, central bank data showed. The local currency has depreciated 1.97 percent so far this month, ranking as the weakest performer among Asian currencies. Dealers attributed the retreat to foreign investors wiring capital gains and dividends abroad after taking profit in local shares. They also pointed to reports that Washington might consider taking equity stakes in chipmakers, including Taiwan Semiconductor
A German company is putting used electric vehicle batteries to new use by stacking them into fridge-size units that homes and businesses can use to store their excess solar and wind energy. This week, the company Voltfang — which means “catching volts” — opened its first industrial site in Aachen, Germany, near the Belgian and Dutch borders. With about 100 staff, Voltfang says it is the biggest facility of its kind in Europe in the budding sector of refurbishing lithium-ion batteries. Its CEO David Oudsandji hopes it would help Europe’s biggest economy ween itself off fossil fuels and increasingly rely on climate-friendly renewables. While