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May 27, 2017

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TSMC expresses confidence in 28-nm technology amid reported loss of clients

Taiwan Semiconductor Manufacturing Co. (TSMC) yesterday expressed confidence in its 28-nanometer technology, saying the company will have enough capacity in the fourth quarter to satisfy clients' needs.

TSMC, the world's largest contract chip-maker, made the remarks after the Korea Times reported that Qualcomm, a major client, will commission Samsung to make its Snapdragon S4 chipset, using the Korean firm's 28-nm technology.

"We do not comment on business with clients," TSMC said. "We're confident in our leadership status in 28-nm and will fulfill customers' demands in the fourth quarter."

According to the report, Qualcomm is switching partners to resolve its shortage problem. The company had lowered its financial forecast for this year and increased capital expenditure, just to make sure there is enough 28-nm capacity at its foundry partners' sites to meet demands.

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