TSMC to manufacture Intel's WiMAX chips

WiMAX is being touted as a major breakthrough which will connect places which could never connect before.

But if the reports are true, it may cause a fall out with TSMC's other customers, which include plucky little SIS and Via Technologies, as well as graphics firm Nvidia, which use its foundry facilities.

TSMC usually maintains when this sort of thing happens that the Chinese walls in its organisation prevent conflicts of interest, although if you speak to sources at the various vendors they do take a different view.

It's not the first time Intel has used TSMC, according to the newspaper. It uses TSMC to make south bridge chips, the report claims.