Foundries to boost capex in 2011
Mark LaPedus, EETimes
12/21/2010 6:43 PM EST
SAN JOSE, Calif. - The so-called capital spending ''arms race'' in the foundry business will continue, as leading-edge vendors will boost their expenditures in 2011, according to an analyst.
In recent times, the foundries have boosted their spending-much like the weapons arms race in the Cold War period during the 1960s and 1970s. And don't look now, but TSMC, GlobalFoundries, Samsung and UMC will increase their capital spending in 2011 over 2010.
''TSMC has followed up a capex of $2.7 billion in 2009, with $5.9 billion in 2010 and a capex budget that we believe will be likely $6-plus billion for 2011. We currently peg it at $6.1 billion,'' said analyst C.J. Muse of Barclays Capital, in a report.
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