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Technology Stocks : ADI: The SHARCs are circling! -- Ignore unavailable to you. Want to Upgrade?

To: Jim Oravetz who wrote (2817)	6/20/2003 1:01:23 PM
From: Jim Oravetz	Read Replies (1) \| Respond to of 2882

Analog Devices: TSMC Still Main Partner Despite IBM Order DOW JONES NEWSWIRES TAIPEI -- U.S.-based chipmaker Analog Devices Inc. (ADI) Friday reaffirmed its foundry partnership with chipmaker Taiwan Semiconductor Manufacturing Co. (TSM) after choosing a major rival of TSMC's to manufacture a new line of semiconductors. "(Analog Devices) regards TSMC as our primary foundry partner. ADI and TSMC have been working together for many years, this relationship continues today and will continue into the future," Maria Tagliaferro, director of corporate communications at Analog Devices, said in an e-mail statement. TSMC manufactures chips on a subcontracting basis for firms such as Analog Devices, which farm out production of the chips they develop. Analog Devices Wednesday announced it had developed a new line of digital signal processor chips in conjunction with International Business Machines Corp. (IBM), fueling fears the U.S. technology giant had nabbed a customer away from TSMC. Earlier this year, IBM won orders from one of TSMC's top three clients, graphics chipmaker Nvidia Corp. (NVDA). The deal prompted widespread speculation that IBM may become a major player in the chip foundry business at the expense of TSMC and Taiwan's United Microelectronics Corp. (UMC). Tagliaferro said Analog Devices is working with IBM on the new line of DSP chips "because IBM has the memory technology we wanted to use (embedded dynamic random access memory). eDRAM is not part of TSMC's offerings."