AMD CEO Lisa Su traveled Asia this week and when she spoke in the Taiwan capital earlier in the week, she ended up in the Japanese capital, where she admitted in an interview with local media that the need to diversify risks is forcing the company to consider not only TSMC companies outside of Taiwan, but also the services of its competitors.
That last statement sounded quite interesting considering that a few days earlier Lisa Su had made statements in Taiwan about the need to work with “good partners” like TSMC to manufacture advanced components using state-of-the-art lithography. In an interview with the publication Nikkei Asian Review During her visit to Tokyo, the AMD boss made the following explanations on the prospects of working with TSMC: “The company is evaluating other manufacturing options to ensure it has the most reliable supply chain. In the area of developing advanced chips, we have no alternatives in our plans.”.
In other words, AMD recognizes the importance of working with TSMC in advanced chip manufacturing and packaging technologies, but is willing to consider alternative suppliers in secondary areas. In fact, AMD initially partnered with GlobalFoundries and has received 12nm and 14nm crystals from them to date. When AMD’s graphics division was an independent company of ATI Technologies, it received some of its products from Taiwan’s UMC. In terms of contracts, AMD in principle still has alternatives in this case in the form of Samsung Electronics or even Intel, but for the latter it is a direct competitor and therefore cooperation in this area is extremely difficult to imagine – even considering Intel’s potential openness to this idea. Note that in an interview with Japanese media, Lisa Su did not specify which contract manufacturer she would like to count among her partners besides TSMC. At the same time, during his speech in Taiwan this week, the company boss actually denied rumors about AMD’s intentions to switch to Samsung’s services for the production of advanced chips.
However, the AMD boss did not hide his interest in working with TSMC in connection with the emergence of new companies of the latter outside of Taiwan: “I really like the emergence of new production sites around the world, including the US and Japan.” We want to use production sites in different geographical locations to achieve greater flexibility.”. Recall that AMD management did not hide its interest in chips from TSMC companies currently under construction in Arizona.
With the impending emergence of a new TSMC company in western Japan, it’s difficult to predict what AMD can bring to the table in this regard. From next year, 12 nm, 16 nm, 28 nm and 22 nm chips will be produced here for the benefit of Sony and the automotive supplier Denso, who are shareholders in a joint venture with TSMC. If AMD has an interest in localizing such a product line in Japan, then the local TSMC company will certainly be useful in that regard.