UMC Scrambles to Boost 300mm Capacity to Combat Nearest Competitor

Taipei, April 13, 2011 (CENS)--United Microelectronics Corp. (UMC) plans to set aside nearly 90% of the US$1.8 billion it plans to spend on expansions this year for boosting capacities at its 300mm wafer fabs, in a bid to further stay ahead of the ambitious GlobalFoundires Singapore Pte. Ltd.

GlobalFoundries, currently the world's No.3 pure silicon foundry next to Taiwan Semiconductor Manufacturing Co. (TSMC) and United Microelectronics Corp. (UMC), has vowed to soar past UMC as its primary goal. The company has budgeted US$5.4 billion for expansions this year in conjunction with its ambition.

GlobaFoundries plans to boost output at its 300mm fab each in New York, Singapore and Dresden to the maximum 190,000 wafers altogether a month by 2012.

UMC plans to boost output of 300mm wafers to 150,000 a month sometime in the second half of next year after ramping up to 100,000 by the end of this year. Although the volume is 40,000 wafers fewer than GlobalFoundires', UMC's outputs of 200mm wafers are 20-30% above GlobaFoundries' 200mm wafer outputs.

Industry executives estimated UMC would offer 40-50% more 200mm wafers than the nearest rival as soon as it merges HeJian Technology (Suzhou) Co., Ltd.