Transmeta (Semiconductor) (TMTA)

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All of Taiwan's IT Industry escapes unscathed?

http://www.digitimes.com/NewsShow/Article.asp?datePublish=2002/04/01&pages=01&seq=1

Taiwan Semiconductor Manufacturing Company (TSMC) and United Microelectronics Corporation (UMC) said that though a portion of their manufacturing equipment was shut down due to the March 31 earthquake, overall financial losses should be much less compared to the losses suffered during the earthquake on September 21, 1999. The two foundries have asked equipment suppliers to check the equipment.

The earthquake, which measured 6.8 on the Richter scale, struck Taiwan at 2:52 pm on March 31. The earthquake measured 5 on the Richter scale in the Taipei area and 4 in Hsinchu, Taiwan’s semiconductor production center.

TSMC pointed out that unlike the earthquake in 1999, which caused a power outage, the recent earthquake did not affect the supply of electricity, water or natural gas in the Hsinchu area. None of the company’s staff was hurt and no structural damage has been spotted in the fabs, TSMC added. The company is still evaluating when the fabs could return to normal operation and estimating losses from the production stoppage.

UMC said that a portion of its equipment had to be shut down and its equipment suppliers are already at the fabs to check equipment.

Equipment suppliers pointed out that since Taiwan is located in an earthquake region, fabs on the island are equipped to withstand strong vibrations. Damage from the earthquake should be limited, they said, but estimating losses would require more evaluation. Exact figures will not be ready until the fabs resume normal operation.

In other sectors of the IT industry, DRAM and TFT LCD panel companies also reported very slight damage.
None of the DRAM manufacturers has released precise damage reports thus far, but they did say that some of their manufacturing equipment was automatically shut down. Many observers were worried that DRAM output in April could decrease significantly, and like after the earthquake in 1999, DRAM prices could shoot up in the next few weeks. However, DRAM manufacturers pointed out that output should be able to be maintained at a healthy level. However, they concurred that the earthquake could have a psychological effect on prices.

DRAM maker Winbond Electronics said that the company is working with equipment suppliers to make necessary adjustments. Winbond said that though some of its products were damaged, the company’s overall production capability would not be affected.
Officials from ProMos Technologies, a subsidiary of Mosel Vitelic, said that with stable power supply, impact on production has been limited. As soon as the company completes equipment evaluation, normal production operations would resume immediately.

Powerchip Semiconductor Corporation (PSC) also reported only minimal damage to its facilities. None of its employees was hurt.

AU Optronics (AUO), a Taiwan-based TFT LCD panel supplier, reported no serious damage. The company estimated that its production was down merely five hours. Other major panel makers such as HannStar Display, Chunghwa Picture Tubes (CPT) and Chi Mei Optoelectronics (CMO) all reported minimal damage.