Semiconductor Manufacturing International Corporation (SMIC) has
acquired an IBM license, the biggest made-to-order chip maker in
the Chinese mainland said yesterday.
IBM has licensed 45-nanometer bulk Complementary
Metal-Oxide-Semiconductor (CMOS) technology to SMIC, which will
adopt it in most advanced 12-inch wafer plants.
Such technology can be used to fabricate devices in mobile
applications such as handsets integrated with 3G, multimedia,
graphics chips, and chipsets.
It also supports the manufacturing of graphics and other
consumer devices, according to SMIC's statement.
"The IBM-SMIC partnership will dramatically lift SMIC's position
in the global technology ladder," said Li Ke, an analyst at
Beijing-based CCID Consulting, a research firm authorized by the
Ministry of Information Industry.
"That will help SMIC catch rivals such as Taiwan-based
TSMC."
IBM is one of the major three researchers on semiconductor
development with 45nm in the world and Samsung, Chartered and
Freescale get licenses from it, according to Li.
A nanometer, one-billionth of a meter, measures the size of
transistors on a chip; the smaller size represents highly advanced
technology.
Most domestic semiconductor technology level is at 90nm or even
less advanced.
HK-listed SMIC's share price jumped 12.16 percent to 0.83 HK
dollar (10 US cents) while the Heng Seng Index dropped 1.02 percent
yesterday.
SMIC posted a revenue of US$1.47 billion in 2006 while Chartered
reported revenue of US$1.44 billion and market leader Taiwan
Semiconductor Manufacturing Co, had a 2006 revenue of US$9.6
billion.
Two weeks ago, SMIC began production at its 12-inch Shanghai
plant and it has operated a 12-inch plant in Beijing.
"China is a rapidly growing, strategic marketplace and SMIC is
the largest Chinese foundry," Kevin Hutchings, vice president of IP
Licensing for IBM, said in the statement.
(Shanghai Daily December 28, 2007)
