Supply chain
Digitimes Research: Taiwan top-3 foundries see combined revenues rise in 3Q16
Nobunaga Chai, DIGITIMES Research, Taipei

Combined revenues of Taiwan's top-3 foundries - Taiwan Semiconductor Manufacturing Company (TSMC), United Microelectronics (UMC) and Vanguard International Semiconductor (VIS) - are estimated to be US$9.36 billion in the third quarter of 2016, up 14.3% sequentially and 18.5% on year, according to Digitimes Research.

A seasonal pick-up in end-market demand led to the sequential increase, said Digitimes Research. Meanwhile, revenues saw a substantial on-year growth due to the low point during the same period in 2015.

Taiwan's top-3 foundries saw their combined revenues reach US$8.19 billion in the second quarter of 2016, up 10.7% sequentially and 1.2% on year, Digitimes Research indicated. It was also the first after five consecutive quarters of sequential decreases.

Revenues generated from 16nm process technology are estimated at US$1.75 billion in the third quarter, up 60.6% on quarter. Digitimes Research credited the significant rise to robust shipments for high-end smartphones rolled out by Apple, Huawei and other brands.

In contrast, revenues generated from 20nm process technology will fall to US$240 million in the third quarter from US$480 million in the second, Digitimes Research indicated.

Driven by demand for entry-level and mid-range smartphones, as well as inventory replenishment in the networking IC sector, Taiwan's top-3 foundries will see their combined 28nm revenues grow to US$2.63 billion in the third quarter from US$2.07 billion in the second, Digitimes Research said.

Content from this article was part of a complete Digitimes Research Chinese-language report that has not yet been translated into English. If you are interested in an English version of the report or wish to receive more information about the report, click here to contact us and we will get back to you as soon as possible. Digitimes Research also provides quarterly tracking services for market sectors such as China Smartphone, China Smartphone AP, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.

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