Bookmark and Share


Advanced Micro Devices does not see any necessity for another source for its products, the third foundry partner. The chip designer believes that given its volumes two suppliers are enough despite of obvious issues that both Globalfoundries and Taiwan Semiconductor Manufacturing Co. ran into in the last eighteen months.

"Today, we have a foundry relationship with two industry leaders in the space. [...] We also said in the past that the number of foundries we can support or can support us is also a function of the overall size the company has. With the size that we have today, it is difficult to see that we could add a third partner," said Thomas Seifert, chief financial officer of AMD, during quarterly conference call with financial analysts.

At present AMD manufactures its central processing units (CPUs) and accelerated processing units (APUs) at Globalfoundries, which last year could not deliver enough chips made using 32nm silicon-on-insulator (SOI) technology with high-k metal gate (HKMG). The company contracts TSMC to make low-end APUs as well as all of its graphics processing units (GPUs), but the recent issues with TSMC's supply of chips manufactured at 28nm nodes have affected many of the industry players this year, even though AMD denies problems with TSMC.

Back in the days, ATI Technologies - which is currently AMD's graphics products group - used to manufacture inexpensive GPUs at United Microelectronics Corp., TSMC's main rival at the time. This helped the company to quickly ramp up new chips to fulfill demands OEMs with the help of two contract makers of semiconductors.

Although UMC is clearly behind TSMC in terms of advanced manufacturing processes nowadays, the company could still make some chips for AMD using previous-generation technologies to boost the volumes and lower the manufacturing costs, provided that there was demand for them. Apparently, the demand for AMD's products nowadays is relatively limited due to macroeconomic reasons as well as massive competition from Intel Corp. and Nvidia Corp., which is why it makes no sense for AMD to have a third foundry partner.

Tags: AMD, TSMC, UMC, Globalfoundries, Semiconductor


Comments currently: 2
Discussion started: 07/21/12 07:52:21 AM
Latest comment: 07/22/12 01:43:55 AM


UMC is not a good choice at the moment as their 28nm process is not mature thus there would be no point in using them as AMD is transitioning away from 40nm to 28nm.
3 1 [Posted by: beenthere  | Date: 07/21/12 07:52:21 AM]

Back to relationship between AMD and Apple Inc. 1-2 years ago
AMD couldn't make enough chips for Apple. Thats a huge disaster, isn't it?
So what AMD wants to do ? Giving their engineers to Apple?
0 0 [Posted by: Pouria  | Date: 07/22/12 01:43:55 AM]


Add your Comment

Related news

Latest News

Monday, April 14, 2014

8:23 am | Microsoft Vows to Release Xbox 360 Emulator for Xbox One. Microsoft Xbox One May Gain Compatibility with Xbox 360 Games

Tuesday, April 1, 2014

10:39 am | Microsoft Reveals Kinect for Windows v2 Hardware. Launch of New Kinect for Windows Approaches

Tuesday, March 25, 2014

1:57 pm | Facebook to Acquire Virtual Reality Pioneer, Oculus VR. Facebook Considers Virtual Reality as Next-Gen Social Platform

1:35 pm | Intel Acquires Maker of Wearable Computing Devices. Basis Science Becomes Fully-Owned Subsidiary of Intel

Monday, March 24, 2014

10:53 pm | Global UHD TV Shipments Total 1.6 Million Units in 2013 – Analysts. China Ahead of the Whole World with 4K TV Adoption

10:40 pm | Crytek to Adopt AMD Mantle Mantle API for CryEngine. Leading Game Developer Adopts AMD Mantle

9:08 pm | Microsoft Unleashes DirectX 12: One API for PCs, Mobile Gadgets and Xbox One. Microsoft Promises Increased Performance, New Features with DirectX 12

3:33 pm | PowerVR Wizard: Imagination Reveals World’s First Ray-Tracing GPU IP for Mobile Devices. Imagination Technologies Brings Ray-Tracing, Hybrid Rendering Modes to Smartphones and Tablets

2:00 pm | Nokia Now Expects to Close Deal with Microsoft in Q2. Sale of Nokia’s Division to Close Next Month