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Fab Funded

HP, Winbond support fab in Taiwan

By David Lammers, EE Times

Hsinchu City, Taiwan -- A new logic foundry is getting on its feet with support from deep-pocketed financial backers and a core group of experienced managers drawn largely from locally based Hewlett-Packard Corp. and Winbond Electronics Corp.

Worldwide Semiconductor Manufacturing Corp. has broken ground on construction of a 0.35/0.25-micron fab in the Science-based Industrial Park here that will produce its first silicon in July 1998 and be in full production by the end of 1999, said Kuang-Yi Chiu, president. Plans call for a second line to add another 20,000 eight-inch wafers per month of capacity about a year later, to be in full operation by the end of the century.

Each line is expected to cost about $1.2 billion. The China Development Corp., the largest investment bank in Taiwan, has made Worldwide Semiconductor its first major investment in the semiconductor field, Chiu said. "The CDC has invested in many other high-technology projects, but not that much in semiconductors, up to now. With WSMC as the core project, they plan to do more in the test and packaging areas as well," he said.

The bank, Hambrecht and Quist and other financial institutions will hold 34 percent; the Yue Loong Group, Taiwan's largest auto manufacturer, and other major corporations will put in about 27 percent of Worldwide Semi's capital, and 13 percent will be retained by employees.

Winbond will invest cash, equivalent to a 20 percent stake, but the relationship between Winbond and Worldwide is fairly complicated, though Chiu emphasized that Worldwide is not a Winbond subsidiary.  (Next article.)


(c) 1997 CMP Media, Inc

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