toggle

AAPL Stock: 112.91 ( -0.38 )

Printed from http://www.macnn.com

TSMC claimed facing major 28nm shortage until fall

updated 12:05 am EDT, Fri April 6, 2012

TSMC may have low 28nm supply for CPUs, GPUs

A new and potentially far-reaching rumor has had TSMC's 28-nanometer manufacturing capacity significantly hampered for about half of the year. Supply was said by Digitimes, which has a mixed track record, to be tight enough that it wouldn't clear up until the end of the summer. The shortage was enough that it was purportedly forcing AMD, NVIDIA, and Qualcomm to all limit their releases or find alternative suppliers.

For Qualcomm, some orders for its current-generation Snapdragon processor were believed going to United Microelectronics. These still wouldn't be enough to match the demand for smartphones and tablets, according to the tips. Meanwhile, AMD's Radeon HD 7970 was said shipping only in low volumes, and NVIDIA's rivalling GeForce GTX 680 may be its creator's only 28nm desktop chipset shipping as it wanted to ensure stable supply.

TSMC was thought to be partly allowing the shortage on purpose. While it wanted to meet demand, it also wanted to preserve gross margins, which would be diluted if it made large volumes. Contract manufacturers often have to offer bulk discounts if they ship in large numbers or end up overstocking and having to clear supply.

The shortage hasn't been confirmed by Qualcomm and may be slightly contradicted by HTC haing started shipping the One S, the current and most prominent target for the 28nm Snapdragon S4. If real, though, a shortage would have extensive consequences for multiple Android phone and tablet designers' ability to meet shipping targets. Computer builders may equally be constrained if they want to use modern graphics. This could include even companies that don't normally deal with TSMC, such as Apple, as they sometimes depend on video hardware made by TSMC.




by MacNN Staff

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

Follow us on Facebook

toggle

Most Popular

Advertisement

Recent Reviews

ZTE Spro 2 Smart Projector

Home theaters are becoming more and more accessible these days, but maybe you've been a bit wary about buying a home projector. And h ...

MSI Geforce GTX 970 100ME

When Nvidia announced a new line of video cards in September 2014, many people thought things would continue to be business as usual i ...

Wren V5US Wireless Sound System

If you're a music fanatic, chances are you are, by extension, a bit fanatical about what you listen to your music on. If you're like ...

toggle

Most Commented