Global Sources
EE Times-Asia
Stay in touch with EE Times Asia
EE Times-Asia > EDA/IP

TSMC cuts off utilization rate

Posted: 05 Oct 2004 ?? ?Print Version ?Bookmark and Share

Keywords:taiwan semiconductor? tsmc?

Taiwan Semiconductor Mfg Co. (TSMC), one of the leading suppliers of chips in the global market, announced that it plans to decrease its utilization rate as demand for chips decreased. The company has operated more than its full capacity for the past quarters, allowing it to achieve record profits.

TSMC VP Genda Hu, said, "We see a little drop now." The company believes that demand will wane for a while since customers are trying to reduce their inventories to avoid oversupply. In the second quarter, its utilization rate reached 106 percent and it is still expecting a 100 percent rate in the third and fourth quarters although not as high as the first two since adjustments were to be made for equipment malfunctions. Hu added, "An inventory correction is taking place."

"TSMC's utilization rate in the fourth quarter should still be close to 100 percent," comments Paul Tsai, fund manager at the International Investment Trust in Taipei. "Inventory shouldn't be a serious problem."

Article Comments - TSMC cuts off utilization rate
*? You can enter [0] more charecters.
*Verify code:


Visit Asia Webinars to learn about the latest in technology and get practical design tips.

Back to Top