TSMC Reportedly Wins AMD's CPU Foundry Contracts

Taipei, Sept. 22, 2008 (CENS)--Some foreign institutional investors recently said Taiwan Semiconductor Manufacturing Co. (TSMC) has won foundry contracts to make central processing units (CPUs) for Advanced Micro Devices (AMD), the world's No.2 computer-microprocessor supplier second only to Intel Inc.

They said the volume production would begin at the end of the second quarter next year and run with 40-nanometer process. The contracts, they added, would give a boost to the world's No.1 silicon foundry's revenue.

In reaction to the reports, TSMC's executives haven't made any comments, simply saying pursing CPU contracts has been one of the company's plans. Industry watchers said the contracts coming in economic meltdown reflected TSMC's unmatched technology and manufacturing service.

AMD's farming contracts to TSMC has been within expectations of industry watchers expectations after AMD announced plans to spin off its manufacturing operation at the end of this year to focus on IC design. However, the contract-production schedule comes around half a year earlier than expected in light of the reported second-quarter 2009 production.

AMD has already contracted TSMC and United Microelectronics Corp. (UMC) to make graphic chips after merging ATI Technology, with TSMC offering manufacturing to newer chips whereas UMC offering service to its older chips.