Despite TSMC’s planned price increase for mature processes, IC design houses still require more capacity next year

According to a report from Taiwan's Economic Daily News, following the price hike for advanced processes, IC design houses have revealed that TSMC also plans to raise wafer foundry prices for mature processes starting January next year. Even so, in order to continue expanding their operational scale, when negotiating for next year's wafer foundry capacity quota, they will still strive to secure more capacity support than they received this year.

IC design houses stated that the recent wave of price increases in the first half of this year, caused by rising quotes from packaging and testing firms and foundries other than TSMC for mature processes, had already led to higher IC production costs. They had previously negotiated product price increases with clients. If TSMC's mature process prices are confirmed to rise next year, they will inevitably need to renegotiate higher quotes with clients. In turn, clients will try to pass on these rising costs to their own customers, creating a chain reaction. (Jin Shi)