Featured Articles

Analysts expect ARM to do well next year

Analysts expect ARM to do well next year

British chip designer ARM could cash in on the mobile industry's rush to transition to 64-bit operating systems and hardware.

More...
Huawei and Xiaomi outpace Lenovo, LG in smartphone market

Huawei and Xiaomi outpace Lenovo, LG in smartphone market

Samsung has lost smartphone market share, ending the quarter on a low note and Xiaomi appears to be the big winner.

More...
Intel Broadwell 15W coming to CES

Intel Broadwell 15W coming to CES

It looks like Intel will be showing off its 14nm processors, codenames Broadwell, in a couple of weeks at CES 2015.

More...
Gainward GTX 980 Phantom reviewed

Gainward GTX 980 Phantom reviewed

Today we’ll be taking a closer look at the recently introduced Gainward GTX 980 4GB with the company’s trademark Phantom cooler.

More...
Zotac ZBOX Sphere OI520 barebones vs Sphere Plus review

Zotac ZBOX Sphere OI520 barebones vs Sphere Plus review

Zotac has been in the nettop and mini-PC space for more than four years now and it has managed to carve…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Friday, 01 November 2013 09:04

TSMC churning out fewer and fewer 28nm wafers

Written by Fudzilla staff

Soft mobile demand to blame

TSMC’s capacity utilization of its 28nm processes had dropped to 70 percent, down from almost 90 percent in Q3.

Digitimes reports the drop was caused by slower than expected orders for high-end mobile chips, caused by soft demand for high-end mobile phones. Customers are playing it safe, so they are cutting their orders or decelerating the pace and which they place the orders.

The biggest drop apparently happened over the last few weeks. Such fluctuations were uncommon several years ago, but the smartphone market has its own rules. For example, while shipments of big GPUs tend to be relatively stable and often constrained by capacity soon after launch, smartphones are all about getting plenty of volume when the product is fresh and then scaling back the orders months ahead of new launches.

TSMC’s business isn’t going anywhere, but it is experiencing new seasonal trends. Seasonal underutilization could have a slight effect on long-term prices – if TSMC learns to live with ~10 to 20 percent drops on a regular basis, it might be forced to raise prices to compensate.

However, it also means TSMC could offer lower prices during the drought, so if you have a new SoC or GPU to build, now is your time to get in touch Morris Chang, he’ll appreciate it.

Fudzilla staff

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments