Spansion turns to TSMC for more flash chips

Flash memory chip maker Spansion has signed a deal to outsource some production to Taiwan's TSMC.

Spansion LLC has signed a manufacturing agreement with contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC) to produce flash memory chips.

Spansion, which is a joint venture between Advanced Micro Devices (AMD) and Fujitsu, would rely on TSMC to produce MirrorBit flash memory chips using a 110-nanometer manufacturing process, the company said in a statement.

TSMC's production capacity would be added to Spansion's own manufacturing capacity to increase the total number of chips that can be produced, the statement said.

Shifting some production to TSMC would also open up some manufacturing capacity for Spansion to produce more advanced products, it said.

TSMC would begin volume production of the flash memory chips for Spansion during the second quarter of 2006, the statement said.

Spansion currently produces these chips at its manufacturing plant in Aizu-Wakamatsu, Japan.

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Sumner Lemon

IDG News Service
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