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Article Title Altera-Intel deal on chip sends TSMC share price lower
Content:

Taipei, Feb. 27 (CNA) Shares of Taiwan Semiconductor Manufacturing Co. (TSMC), the world's largest contract chip foundry, took a tumble Wednesday morning but later recovered after arch-rival Intel Corp. succeeded in securing orders from one of its major customers.

Intel and Altera Corp., a U.S.-based designer of processors used in phone-network equipment, jointly announced Tuesday that the two companies will cooperate in moving to 14-nanometer production technology.

Under their partnership deal, Intel will build future versions of chips known as field programmable gate arrays (FPGAs) for Altera, according to a joint statement.

Analysts at Daiwa Securities Co. said Altera's decision to use Intel's 14-nanometer technology programmable chips will have only a limited impact on TSMC in the short-term.

But the Intel-Altera deal could signal the start of more intense competition to be faced by TSMC, they believed. 

Category: Industry News
Date: 2013/02/27
Link: http://focustaiwan.tw/news/aall/201302270011.aspx
Source: focustaiwan.tw

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