Semi Industry Fab Expansions and Possible Consolidations
Last week, we discussed the US $16 billion investment additions by TSMC into their expansion of Fab 15 in Taiwan, this year there are more upstream chip manufacturers in the news. Looking at 2015 fab forecasts, the is good reason to invest in fabs at this point, despite the immense capital expense. As DigiTimes Research notes this week, "Output value for the global IC foundry industry is forecast to reach US$54.8 billion in 2015, up 12% from US$49 billion in 2014 […].IC demand for 4G smartphones will fuel the foundry sector's 12% output value growth in 2015 […]." Interestingly, while CAPEX investments are obvious, what we are also seeing is an increase in industry consolidations, as well as some talk about significant purchases.
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TSMC Sales Growth Rooted in 28nm and 20nm Processes – Next gen to shift leaders?
Taiwan Semiconductor Manufacturing Company (TSMC), the world's largest pureplay foundry company, has been in the news quite a bit over the last two weeks, both for the sales it has made (25.3% month-over-month for January), the ones it didn't quite get (Apple for the A9 chip possibly at 14nm) and the new expansion plans in Asia (US $16 billion in Taiwan for Fab 15), to name just a few top stories.
Read more: TSMC Sales Growth Rooted in 28nm and 20nm Processes – Next gen to shift leaders?