TSMC utilization rate to fall to 85-90 percent in Q2 2011

Posted on Monday, Apr 25 2011 @ 21:46 CEST by Thomas De Maesschalck
DigiTimes reports TSMC's utilization rate is expected to drop as orders from the communications sector are slowing down.
With orders from the communications sector slowing down, Taiwan Semiconductor Manufacturing Company (TSMC) is expected to generate a 5% drop sequentially in total wafer starts in the second quarter of 2011, according to industry sources.

TSMC's average capacity utilization will likely edge down to 85-90% in the second quarter, the sources said. Utilization rates for 90nm, 65nm and 40nm nodes may slide to 50%, 70% and 80-90%, respectively.

Broadcom and Qualcomm, TSMC's main clients in the communications chip market, have decelerated their pace of orders due to inventory clearance and parts shortages caused by Japan's recent disasters, the sources indicated.

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Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.

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