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The minimum order for TSMC is 25,000 pieces? The automotive electronics IDM factory once received an order for a wafer

08/19/2022 TSMC, automotive semiconductors, foundry, semiconductors

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(The picture comes from the Internet)


  Today, a TSMC customer urgently needed 25 wafers for help, but TSMC usually placed a minimum order of 25,000 wafers before OEM, and in the end it was helpless. An international automotive semiconductor factory pointed out that due to the different nature of consumer electronics and automotive electronics, coupled with the differences in the way pure wafer foundries operate and other IDM manufacturers, they once received orders for "one piece" of wafers.


  In recent years, with the rise of electric vehicles and the increase in electronic equipment for general fuel vehicles, automotive electronics has become a key area for the development of the semiconductor industry, and many semiconductor manufacturers are rushing to seize business opportunities. Some major international automotive semiconductor manufacturers pointed out that the characteristics of automotive semiconductors are very different from the consumer semiconductors that Taiwanese manufacturers are used to. Long-term supply is difficult for many semiconductor supply chain manufacturers in Taiwan, China.


  According to foreign media reports, Wei Zhejia, president of TSMC, said that there was a call from a car factory executive who urgently needed 25 wafers, but TSMC took the order from 25,000, so he said to the other party, "No wonder you don't have support." Although TSMC has repeatedly stated that the automotive industry supply chain has its own inventory management, which is long and complicated, it takes at least 6 months from chip manufacturing to automobile production, and it has to go through multiple layers of suppliers. In order to help customers solve chip challenges, TSMC will support the production capacity of automotive electronics customers as a primary consideration in early 2021, and rarely dynamically adjust and reallocate wafer production capacity to support the global automotive industry.


  Compared with pure wafer foundries such as TSMC, it is not easy to have too high flexibility. IDM factories that mainly produce automotive semiconductors have greater flexibility and focus on serving customers. Some major international automotive semiconductor manufacturers pointed out that there was a customer who renovated a classic car with commemorative significance and asked whether there was a 30-year-old car radio chip through a parts supplier. Finally, the component supplier came to this semiconductor factory and found that the old design drawings were still there, so they agreed to help produce "one piece" of wafers, but the price was dozens of times the price of one piece, and the customer happily accepted it.


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