Friday, July 18th 2014

TSMC May Lose 16 nm and 14 nm Market Share to Competitors in 2015: Chairman

TSMC may lose out on orders to competing fabs on the 16 nanometer (nm) and 14 nm nodes, in terms of market share, in 2015, according to company chairman Morris Chang. Chips built on the 16 nm node will amount to single-digit percentages of the company's output in the year. Samsung Electronics is expected to take the lead on these processes, as it just netted orders from Qualcomm, a major mobile baseband chip and SoC designer.

Chang stressed that 20 nm and 16 nm will drive revenue for the next three years for major fabs. 20 nm products will account for 10 percent of TSMC's revenues in Q3 2014, will expand to 20 percent in Q4, and contribute over 20 percent of TSMC's revenues in 2015. TSMC's 16 nm node will be competitive for products such as mobile baseband chips, ICs, GPUs, NICs, and server chips. Despite these setbacks in the company's competitive outlook, it expects its revenues to grow by 12.6 to 14.2 percent sequentially in Q3 2014, year over year.Source: DigiTimes
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27 Comments on TSMC May Lose 16 nm and 14 nm Market Share to Competitors in 2015: Chairman

NVidia needs to start making plans on running their own fabs.. look at Intel, they have full control and seem to be finding it easier to develop these new wafers. I always felt as if TSMC was one of the factors that kept some companies from doing better..

As for the drama above, I actually like this news not for the financial bit but for the advancement in die nm. Seeing TSMC struggle makes me sad since I want the best nm when I buy my technology. :)
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I see this as a huge sign saying that mobile devices will continue to take jumps in performance per watt, while mainline GPU cores will either have to become more efficient at current process size, or become absurdly expensive to make up for the wafer competition, so bad either way. Also it tells me that AMD is going to have to start kissing bottom at other foundries if they want to continue down their current path of needing smaller nodes to make their dreams come true.

From all angles we are looking at a stall in system performance except by Intel whose fabs are looking awfully shiny and good right now. Perhaps AMD needs to start designing more customer chips for niche markets and lease out their IP on said projects to make more $$$ and get more clout with fabs.
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