TSMC revenue drops QoQ. Smartphone/tablet segments hit too.

[ShintaiDK]

It was only a matter of time I guess before the smartphone/tablet segment couldnt live on in dreamland. The PC decline now expands to the smartphone and tablet segment.

http://www.tsmc.com/tsmcdotcom/PRListingNewsAction.do?action=detail&newsid=8301&language=E

TSMC revenue down 9.3% QoQ. Expected up to 6% drop in Q1.

TSMC profit down 13.7%.

28nm now accounts for 34% of revenue.

Qualcomm also dissapoints.

 

[AtenRa]

Ehm,
Annual (Year over Year) Revenue is UP by 10,9%
Annual Net Income is UP by 7,7%

 

[ViRGE]

I didn't realize TSMC was so profitable on an absolute basis. I would have never guessed that they could clear $1.5B (USD) net income in a single quarter.

 

[Exophase]

Q4 to Q1 drop is normal, tech market likes its seasonal shopping..

 

[ShintaiDK]

Q4 to Q1 drop is normal, tech market likes its seasonal shopping..

Q3 to Q4 is not normal tho.

 

[SiliconWars]

Well TSMC isn't projecting any doom and gloom, far from it actually -

http://www.digitimes.com/news/a20140117VL200.html

Interesting to see 10% for 20nm, that's a lot - it must be in decent shape and coming soon based on that.

 

[krumme]

I didn't realize TSMC was so profitable on an absolute basis. I would have never guessed that they could clear $1.5B (USD) net income in a single quarter.

They are cost effective, flexible and market driven. I think they are made for the future market where they will also have lesser margins and profit.

To be frank aboit it; i am glad i am not i an american company competing with those cost and that working culture.

Its a nuclear driven machine with brain

 

[jpiniero]

That increase (and the 10% of 20 nm) is probably from the Apple contract.

 

[ShintaiDK]

That increase (and the 10% of 20 nm) is probably from the Apple contract.

There is no 20nm. Revenue and income is decreasing QoQ.

 

[jpiniero]

There is no 20nm. Revenue and income is decreasing QoQ.

Was talking about TSMC's bullishness for 2014.

 

[Hans de Vries]

You are absolutely amazing.... :$:$:$:$:$

Q3 to Q4 is not normal tho.

Yes it is. TSMC produces chips in Q3 which go into products sold by its customers in Q4 for the Holiday season

TSMC Dec sales up 33.7 pct on year

TSMC Revenues:
Dec 2012: NT$ 37,154 million
Dec 2013: NT$ 49,681 million

There is no 20nm. Revenue and income is decreasing QoQ.

There is no 20nm?.....

There are 2500 engineers and 1500 operators working full time in two Fabs on 20nm High Volume production right now!!!


TSMC mobile chip sales to grow more than 35% in 2014, says Morris Chang

TSMC's revenues generated from the mobile device sector are expected
to increase more than 35% in 2014, buoyed by the rising popularity of
smartphones and tablets, and rising silicon content per device, said
company chairman Morris Chang at a January 15 investors meeting.

Mobile devices that incorporate 64-bit processors and come with support
for multi-mode networks will become widely available in 2014, said Chang.
Meanwhile, more devices will include MEMS and NFC, feature new
standards in Wi-Fi and Bluetooth, and have fingerprint recognition
capabilities. The continued performance improvements and feature
enhancements will boost the amount of silicon inside a system, Chang
indicated.

Mobile products will be the key growth engine for TSMC in 2014, when the
company expects to post double-digit revenue growth, Chang noted. In
terms of technology, TSMC's 20nm SoC and 28nm HKMG process nodes
will fuel the company's growth in 2014, Chang said.


Hans

 

[Exophase]

Yes it is. TSMC produces chips in Q3 which go into products sold by its customers in Q4 for the Holiday season

Exactly, TSMC's production is a quarter ahead of what you start seeing on shelves, this is always the case. I should have said Q3 to Q4 instead of Q4 to Q1.

 

[liahos1]

tsmc is utterly screwed. qualcomm and mediatek have been shifting their 28nm business to glofo and samsung. broadcom supposedly going to do the same. glofo has been offering 15% wafer price cuts to woo over some business. Glofo has ATIC backing them with endless petro dollars and they are reportedly investing 10(?) billion dollars on leading edge capacity in 2014. Samsung's tool order's equate to 20/14nm capacity in excess of what tsmc is planning to build. Why are they add in all this capacity if they are supposedly going to lose all of apple's business which is effectively 90% of their logic capacity?? and if they do is it not reasonable to assume they could easily woo some of tsmc's leading edge customers? Lets not forget about intel. Already won over a lot of the fpga guys and seem flexible to add others to their fabs going forward. beyond that cost per capacity is going up industry wide and tsm has the least amount of scale vs intel and samsung. these guys are going to be the next UMC.

 

[Exophase]

People keep saying that Qualcomm and MediaTek have been using Global Foundries already, and I keep wondering where these GF chips of theirs are...

 

[SiliconWars]

It seems likely that both will certainly move some production to GF, but I don't see TSMC becoming the next UMC any time soon.

GF is just keeping TSMC honest by offering good pricing - and barely at that. There's no doubt TSMC is on a roll just now.

 

[Exophase]

It seems likely that both will certainly move some production to GF, but I don't see TSMC becoming the next UMC any time soon.

GF is just keeping TSMC honest by offering good pricing - and barely at that. There's no doubt TSMC is on a roll just now.

Right, there's a big difference between moving some production to GF (or even Samsung) and totally abandoning ship with TSMC after having a strong relationship with them for years. It could be testing the waters to see who could give a better deal, making sure you have a second source you're ready to use if things go bad with one of them, or it could be a matter of it being harder to obtain all the orders you need as quickly as you need them as mobile volume is still growing.

Likewise, Apple isn't expected to move 100% of their production from Samsung to TSMC right away.

 

[Nothingness]

Also Intel is fabbing (Infineon) modems at TSMC and their first Sofia chip will also be fabbed there. Of course given Intel track records in mobile, the volume might be ridiculous.