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TSMC Said to Start Trail Production of Chips for Apple
[July 18, 2011]

TSMC Said to Start Trail Production of Chips for Apple

BEIJING, Jul 18, 2011 (SinoCast Daily Business Beat via COMTEX) -- Taiwan Semiconductor Manufacturing Co., Ltd. (NYSE: TSM and TSMC) has begun trail production of the next generation chips for Apple Inc. (Nasdaq: APPL)'s mobile terminals, disclosed people familiar with the matter last Friday.

Apple needs to maintain its cooperation with Samsung Electronics Co., Ltd., although the US-based electronics giant is trying to diversify its chip orders, said William Wang, an analyst at Fubon Securities.

TSMC will get new chip orders, pointed out Mr. Wang, noting that the problem is how to allocate the orders. TSMC may get 20%-30% of the orders from Apple, according to Mr. Wang, adding that Apple will definitely not give all the orders to the Taiwan-based company.

TSMC, which has decided to spend USD 7.8 billion on technology upgrade and production capacity expansion this year, will become a candidate to win the processor business from Apple.

TSMC declined to make a comment on the market hearsay. Apple, on the other hand, was not immediately available for comment and Samsung declined to give a comment.

Source: (July 18, 2011)

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