3 Large Foundries Ceo Confidence Propaganda Inventory Problem Is Not Serious

TSMC chairman Morris Chang said the company'shistorical data analysis, inventory levels reasonable.
advanced process foundry capacity demand, supplySun Shiwei and that, because UMC All products are
and demand gap of 30 ~ 40%.priced in dollars, while the procurement of all
    Europe by the credit crisis and a mixed volcanicequipment suppliers in Europe are denominated in
ash events, global concerns European marketeuro, the dollar, the euro to depreciate heavily UMC
demand, inventory concerns also increased. However,more profitable.
the world's top 3 wafer Tate agreed that the    In addition, Chia Song Hwee said in the
inventory situation is not serious, with security people.interview he was optimistic the whole year
Following the chairman Morris Chang of TSMC, UMCsemiconductors. He expressed, overall production
chief executive Sun Shiwei, the global wafervalue of semiconductors in 2010 to 20% annual
(GlobalFoundries) operating officer Chia Song Hwee ingrowth, the foundry industry, the first 2,3,4-quarter
an exclusive interview with this newspaper, alsoexpected to grow quarter by quarter over Q1,
pointed out that some customers do have higherfoundry production annual growth rate reached 30%
inventories, but still below the average level over thetarget should be no problem. The growth rate
past , there is no clear warning, so the overallGlobalFoundries performance should be better than
inventory problem, now seems okay.the industry, the company does not disclose capacity
    Chia Song Hwee said the inventory problemutilization, but Chia Song Hwee emphasize that the
for clients, he did not see the warning appears,present production capacity is very tight.
although some do have higher customer inventory,    In order to relieve the supply pressure
but still below the normal water level in the past.capacity, GlobalFoundries also, and TSMC, UMC to
    According to market analysis report, theexpand production capacity which, like
average days of inventory of about 65 days. Hesynchronization. GlobalFoundries in the world have
believes that the foundry in the supply side pressurethree 12-inch plant, said Chia Song Hwee, Singapore
is not great, even shortages. Overall inventory, thefactory Fab7 end of 2010, monthly production
current seems okay.capacity is expected to reach 42.00 ~ 43,000 pieces,
    Chia Song Hwee views and TSMC chairmanmainly of 65 nm; in Germany Fab1 plant remains in
Morris Chang has mentioned in the Law Society'sthe monthly production capacity of 42,000 tablets ,
view that comparable, Chang said at the time, the40 nanometer process-based. The New York Fab8 is
company's advanced process foundry capacityunder construction and expected to be in volume
demand, supply and demand gap of 30 ~ 40%, itproduction in mid 2012, will be based on 28
seems unlikely Customer orders may have to repeatnanometer.
the problem.    The production scale, Chia Song Hwee said
    UMC chief executive Sun Shiwei in before thethat as just started to build, difficult to say how
opening ceremony of the new plant that will reaffirmmany, but by the past with the scale of production
France's view, he said stocks in the bottom quartercapacity, monthly production capacity should be at
of 2009, after the first three, although capacityleast 40,000 or more, the future global wafer
utilization and synchronization recovery, but with theproduction capacity will be greatly improved.