Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Advanced Micro Devices - Moderated (AMD) -- Ignore unavailable to you. Want to Upgrade?

To: Dan3 who wrote (256424)	10/7/2008 12:12:05 AM
From: Elmer Phud	Respond to of 275872

Could be.

To: Dan3 who wrote (256424)	10/7/2008 2:33:12 AM
From: NicoV	Respond to of 275872

Impact of The Foundry Company (or however they are going to call it) on the industry. - TFC will own 3 300mm megafabs, most likely focussed on SOI, with one of the best manufacturing operations in the industry. - The rest of the foundry industry (most notabely TSMC) will have to face a competitor that is debt free and has very deep pockets to invest in new fabs. In a capital intensive sector financed by debt, having a debt free competitor is frightening (certainly considering the current credit crisis). Chartered will probably loose AMD as a customer. TSMC will at least loose ATI as a customer because: 1) TFC needs to fill its fabs 2) Fusion is build on SOI, and regular graphics may be moved to SOI for power consumption reasons alone. - NVidia may also become a customer (they joined the SOI consortium a few months back) - TFC will not let AMD go bankrupt, since it will be their biggest customer. - For the same reason, TFC won't let AMD loose it's x86 license. Timing: It is highly doubfull that this deal would go forward if AMD didn't have solved its operational problems: - Shanghai is rumoured to be far better than Barcelona(they probably had to time to finish all the performance improvements they planned for Barcelona) - ATI is doing very well, partly because of its products, partly because of NVidia's problems. - Fusion must be taped out by now, so they probably have a reasonable confidence in Fusion. On a separte note, Innovative Silicon has announced that they expect Z-RAM based products in the 2009-2010 timeframe, and that at this moment they don't know which one will be first, embbedded (AMD) or DRAM (Hynix). Again, since this is SOI based, TFC's fabs are the most likely candidate for building it.