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TSMC may raise prices for high-end chips

Top contract chip maker Taiwan Semiconductor Manufacturing Co Ltd (TSMC) said on Tuesday it may raise prices for its higher-end chips as rising costs threaten to squeeze profits. Semiconductor makers face higher costs to build state-of-the-art chip plants for most cutting-edge chips, and are also feeling the pain of rising inflation. It should be interesting to see how this impacts companies like NVIDIA who had TSMC make all their GPUs.

"Average selling prices have been falling and profits have been under pressure, and we have to work together to create value," Jason Chen, a company vice president in charge of global sales and marketing, told a TSMC technology symposium. He said price changes would be mostly for chips made by advanced process technology, but would not say how big they would be or when they would occur. He did not say when TSMC last raised prices.

Reuters Technology News

Posted by | Tue, May 27, 2008 - 10:26 AM


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