AMD/ATI relationship with TSMC and UMC won't change

Posted on Wednesday, August 23 2006 @ 13:02 CEST by Thomas De Maesschalck
AMD expects its cooperation with IBM and Chartered Semiconductor, as well as ATI's relations with TSMC and UMC, will remain unchanged over AMD's acquisition of ATI.
With AMD having its own foundry facilities and additional capacity support from IBM and Chartered Semiconductor, market sources speculate that AMD-ATI may gradually reduce its wafer-start orders with TSMC and UMC following the completion of the AMD-ATI merger.

Meyer dismissed such speculations and stressed that the AMD-ATI deal won't affect the status quo of ATI's OEM business relations with TSMC or UMC, and that the production of ATI's graphics chips and IGPs will continue to be subcontracted to the two companies. Meyer made the remarks on the sidelines of the launch of the company's new R&D center in Shanghai.

Taiwan-based motherboard makers generally agreed with Meyer's statement as AMD's own foundry capacity currently is barely enough to support its product development and the company has no additional facilities to accommodate ATI's products.
More info at DigiTimes.

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