2011 Taiwan's three major wafer 3Q revenue declined 7.2% year-on-year

From the 3Q revenue data of the top 3 foundries in Taiwan, such as TSMC, UMC, SMIC, we can see that due to the impact of the European debt crisis, the demand for terminals has been significantly reduced, and the total inventory amount of major chip suppliers worldwide is still very high. High, client-adjusted inventory pressure remained high, making the total revenue of the top three foundries in the Taiwan region in the third quarter of 2011 reached US$4.79 billion, and a decline of 7.2% in the previous quarter, US$5.16 billion.

Among them, due to a significant reduction in the number of outsourced orders from Integrated Devicd Manufacturers (IDMs), resulting in a two-digit-percentage-point decline in UMC's 3Q11 revenue in the third quarter of 2011 compared to the previous quarter. The magnitude is greater than the industry level.

In contrast, Taiwan Semiconductor Manufacturing Co., Ltd., due to its leading technology advantage in the 45/40nm process, achieved a small growth in revenue from IDM in the third quarter of 2011, and the decline in revenue from IC design customers was comparable to the industry level. It also allows TSMC to outperform the industry.

In the fourth quarter of 2011, the total revenue of the top three foundries in Greater China will continue to decline, with DIGITIMES projected at only US$4.51 billion, even though the economy is still sluggish and the client is still continuously adjusting inventory. In the third quarter, the recession was 5.9%, and the second consecutive quarter of revenue decline was seen in the first quarter of 2009.

Although the overall revenue performance of the top three foundries in Taiwan in the second half of 2011 was not very satisfactory, the total 2011 revenue performance under the support of Taiwan Semiconductor Manufacturing Co., Ltd. will continue to reach US$ 19.38 billion, compared to 2010. 18.77 billion US dollars grew by 3.3%.