TSMC to buy full ownership of U.S.-based WaferTech, plans next 300-mm fab
Semiconductor Business News
(11/07/00, 10:57:45 AM EDT)
HSINCHU, Taiwan --In a move to increase its foundry capacity and services in North America, Taiwan Semiconductor Manufacturing Co. Ltd. here today announced plans to acquire full ownership of WaferTech LLCC, a U.S. joint venture between TSMC, Altera Corp., Analog Devices Inc., and Integrated Silicon Solution Inc. (ISSI).
Currently, TSMC owns 66.89% of four-year-old WaferTech, which is located in Camas, Wash. TSMC has been negotiating with its partners to take full ownership of the WaferTech foundry, and the company's board of directors has approved a maximum offer of $6 per share, or about $500 million. The potential payments to Altera, Analog Devices, and ISSI were not immediately available.
A spokeswoman for TSMC said the company decided to take full ownership of WaferTech to increase its "flexibility to implement future strategic and capacity expansion plans for North America."
Also during this week's broad meeting, TSMC's directors approved capital expenditures for design and construction of a new 300-mm wafer fab, designated Fab 15, in the Tainan Science-Based Industrial Park. The 300-mm (12-inch) wafer fab will be built near TSMC's existing Fab 6, which was opened in the Tainan industrial park earlier this year to process 200-mm wafers for foundry customers and begin pilot production of 300-mm substrates (see March 30 story). TSMC's is now setting up Fab 14 as a 300-mm volume production facility in the Tainan, which is located in southern Taiwan.
The Fab 15 facility has been on the drawing boards as part of TSMC's 10-year expansion plan. The basic construction work for Fab 15 is expected to begin before the end of this year. TSMC has secured 40 hectares of land in the new park to build a total of six fabs in Tainan, which is located about 150 miles south of Hsinchu--the current hub of Taiwan's chip industry.
TSMC's directors also approved $50 million for a venture capital company to fund activities that will be beneficial to both the silicon foundry company and its customers. |
