Taiwan Foundries Cut Prices

Taiwan foundries are going to be cutting prices by 10 to 15% for wafers built on mature node processes. Since these wafers have lower production costs the foundries are passing on the savings. This move is to boost consumer confidence in building their inventory after a year of shaky ground in the U.S. and European markets. This according to DigiTimes.

Also DigiTimes is reporting despite slow demand for mature process manufacturing, Taiwan Semiconductor Manufacturing Company (TSMC) continues to see orders heat up for advanced 28nm technology, according to sources at non Taiwan-based chip suppliers.

This news could mean that these same vendors that are getting a cut in overhead thanks to the foundries could pass on the savings to the end customer to boost revenue.