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The Rising Tide of Semiconductor Cost

Doug O'Laughlin · 22 Nov 2021 · fabricatedknowledge.com ↗

3 korrents from this piece

Doug O'Laughlin did not write this page.

Every claim below was made in this piece, quoted word for word and numbered in the order the piece makes them, so you can read it there rather than take our word for it. The sentence above each quote is our reading of the claim, not their wording. Each quote was checked against a stored copy of the page at build time; where the two differ, the quote is the fact.

  1. Our reading

    Chipmakers are consolidating into a few strategically important firms, so a fab is now a geopolitical asset rather than an industrial one.

    Their wordsFinally, not just old chips and new chips, but the companies that make the chips (semiconductor fabs) are becoming more consolidated and more strategic.
    Interesting

  2. Our reading

    Chips are getting more expensive mainly because they take more process steps, not because the tools got dearer.

    Their wordsThe primary driver is not only the rising costs of tools such as EUV, but the rising number of steps to make a chip.
    Interesting

  3. Our reading

    TSMC can pass its rising costs on because at the leading edge its customers have nowhere else to go.

    Their wordsGiven the concentration of fabrication power at TSMC, customers really don’t have another option.
    Interesting