Taiwan Semiconductor Manufacturing Company's (TSMC) total spending on R&D will top NT$50 billion (US$1.67 billion) in 2011, up from the NT$36 billion estimated this year, according to company chairman and CEO Morris Chang speaking at a recent business event.
Fellow competitors do have their particular areas of expertise, for example, Intel in the microprocessor market and Samsung in memory, said Chang. However, TSMC is confident that its R&D and manufacturing capabilities, and well-built relationships with customers, make itself more competitive in the global semiconductor sector, Chang indicated. If you call Intel "Mercedes-Benz," TSMC would be "Toyota Motor," he described.
TSMC's budgeted R&D spending for 2011 trailed only behind Intel, Chang noted. But as a pure-play foundry, our targeted investment is already considerable compared to Intel's that also includes its chip-design business, Chang said.
Chang earlier pointed out that the foundry's capex for 2011 would be higher than the record target in 2010. He did not give any numbers.
TSMC's 2010 capex is estimated at US$5.9 billion, up over 100% from the US$2.67 billion allocated in 2009.