TSMC increases capex between $8 billion and $8.5 billion

Published:2012/4/28 2:03:00 Author:Ecco From:SeekIC

Taiwan Semiconductor Manufacturing Co. Ltd. plans to raise its capex between $8 billion and $8.5 billion in 2012. However, TSMC needs to use more capex on developing 28-nm wafers and because it has decided to "pull in" the creation of a 20-nm R&D process line.

TSMC had reduced its capex estimate to about $6 billion from $7.3 billion three months ago in 2011. There was an analysts indicating that the company is reacting to a shortfall experienced by leading-edge customers such as Qualcomm. What’s more, analysts had expected TSMC to raise capex to about $7.5 billion the figure given by TSMC exceeded expectations.

The 28-nm process technology accounted for 5 percent of total wafer revenues in the first quarter, 40-nanometer was 32 percent, and 65-nanometer accounted for 26 percent. Despite those supply shortfalls at 28-nm TSMC enjoyed a profitable first quarter, the company announced a net income of of NT$33.47 billion ($1.14 billion) on consolidated revenue of NT$105.51 billion (about $3.60 billion) for the first quarter ended March 31, 2012. However, TSMC wishes revenue to increase significantly in the second quarters to be between NT$126 billion (about $4.30 billion) and NT$128 billion (about $4.37 billion).

Reprinted Url Of This Article: http://www.seekic.com/blog/IndustryNews/2012/04/28/TSMC_increases_capex_between_8_billion_and_85_billion.html

Print this Page | Comments | Reading(559)