SAN JOSE, Calif. - Silicon foundry giant Taiwan Semiconductor Manufacturing Co. Ltd. (TSMC) announced consolidated revenue of a record NT$112.25 billion ($3.65 billion) in the quarter, up 6.9 percent from the previous quarter and up 24.8 percent a year ago.
Net income was NT$46.94 billion ($1.52 billion) for the quarter, up 16.5 percent from the previous quarter and up 53.6 percent from a year ago.
In the third quarter, demand for TSMC’s wafers continued to increase, and wafer shipments in all major semiconductor market segments, except computer, increased from their second quarter levels.
The outlook is cloudy. “For the fourth quarter, we expect the demand from communication related applications to continue to grow while computer and consumer related applications will decline,” said Lora Ho, senior vice president and chief financial officer of TSMC, in a statement.
Revenue is expected to be between NT$107 billion and NT$109 billion in the fourth quarter. In 2001, TSMC's capital spending is expected to be larger than the $5.9 billion figure issued in 2010, according to Dow Jones.
This shows that the communications related equipments, primarily cell phones are in huge demand. In emerging economies like India, there is a huge demand for these devices. And with the smartphones & PDAs being available at much cheaper prices, the demand for computer related equipments is projected to be down.
However, with the economic recovery taking baby steps, why is the demand from consumer equipments projected low ?
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