Asia Express - East Asian ICT
Freescale, TSMC Moving Forward on 65nm 3G Chips
July 01, 2005

Freescale will contract TSMC to produce 3G chips on 65nm production process technology, according the Economic Daily News. The chips are expected for rollout near the end of 2005. Previously counted as one of TSMC's top ten customers, the deal will put Freescale in the top five. TSMC also undertakes production for Freescale in automotive ICs, and cooperation on digital signal processors is currently being evaluated. Roughly 13% of Freescale's first quarter revenue derived from foundry partner output, most of which is through TSMC. In consideration of Freescale's "fab lite" strategy, the company hopes to raise this share to 20% in the near future.