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Digitimes Research: Taiwan top-foundry combined revenues to rise 8% in 2Q16

Nobunaga Chai, DIGITIMES Research, Taipei

Combined revenues of Taiwan's major foundries: Taiwan Semiconductor Manufacturing Company (TSMC), United Microelectronics (UMC) and Vanguard International Semiconductor (VIS) are forecast to reach US$8.02 billion in the second quarter of 2016, up 8.4% on quarter but down 0.9% on year, according to Digitimes Research.

Rising demand for entry-level and mid-range smartphones in China and emerging markets, as well as a pick-up in orders from suppliers of wireless ICs, power management chips and LCD driver ICs led to the sequential growth, said Digitimes Research.

During the second quarter, revenues generated from 28nm process technology have been driven by growing demand for entry-level and mid-range smartphones, Digitimes Research indicated. The node as a proportion of total revenues will rise in the second quarter.

Meanwhile, revenues generated from 16nm process technology will also increase in the second quarter, when shipments for HiSilicon's and Apple's new mobile processors and Nvidia's GPU kick off, Digitimes Research noted. Of the total revenues generated by Taiwan's top foundries, 28nm and below processes will account for 50.4% in the second quarter compared with 45.2% in the first, Digitimes Research forecast.

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.