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UMC Investing $3.6 billion on 28 nm Manufacturing Capabilities Amidst Worldwide Semiconductor Shortages

Sep 17, 2014
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This can feed the auto industry so good.


I don't disagree with what you mentioned, but the problem is that the demand and money are going towards the finer/advnace nodes. Chips used in cars are still on more matured nodes, but the questions are for how long, and how profitable they are in the longer run. Granted the amount that UMC is investing into 28nm fab isn't great as compared to the likes of TSMC, Samsung and Intel, so I guess they would have projected good profit to cover the cost of investment.

They are profitable because the technology is cheaper and the demand will remain high. Plus, its ground work for better nodes, staffing etc.


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