TSMC has also reduced the prices of 8-inch wafers that generate chips for various segments like Display Driver ICs (DDI), CMOS Image Sensors (CIS), and Power Management ICs (PMIC)
The Taiwan based global chip-maker TSMC, which has the largest foundry, is now reported to have reduced its chip prices. This global chipset contract manufacturing and design firm supplies its wide range of SoCs to international giants such as Apple, Qualcomm, Huawei, and various other electronics manufacturing companies.
Interestingly, the electronics industry after witnessing a massive shortage of semiconductors was flabbergasted because of the fact that TSMC has suddenly reduced the factory-level price of some of its top-notch chipset to 30 percent. Now, the point is various experts have added that this move could impact connected cars, smartphones, smart home appliances, and numerous other electronics sectors that require semiconductors.
It seems that TSMC is introducing a lot of new strategies to stay ahead of the competition curve. Now, when the demand for electronic products increased to a large extent, this same company soared the prices of wafers of advanced semiconductors of 5-nm or smaller than that to 12 percent. This unexpected increase of the price shocked various global industries.
After this incident, a lot of global semiconductor experts were under a notion that TSMC would escalate the price further, but it shocked the entire planet with a colossal slump in the foundry prices by 30 percent. Now, the chips mostly for smartphones are 5-nm or smaller than that and TSMC used to charge a premium price for those chips. Moreover, the company has also reduced the prices of 8-inch wafers that generate chips for various segments like Display Driver ICs (DDI), CMOS Image Sensors (CIS), and Power Management ICs (PMIC).
Speaking of the international foundry market, TSMC holds the record of 60 percent share, which implies that it is dominating other companies in the market. In spite of having the largest foundry, the company failed to meet the increasing demand and reduced production of chips because of the current recession and downturn in the semiconductor industry.
Now, the decision of reducing the price of 8-inch wafers could benefit the smartphone makers massively because the chips from these wafers are utilized in displays, cameras, and even battery charge management.
