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Samsung tried to persuade Morris Chang and Stan Shih (Acer) not to do semi in 1988

VCT

Active member
I saw one interesting article from a book.
Samsung tried to persuade Morris Chang and Stan Shih (Acer) not to do semi in 1988
Samsung former Chairman Lee Kun-Hee came to Taiwan to Samsung tried to persuade Morris Chang and Stan Shih (Acer) not to do semi in 1988.
Mr. Lee did not see Morris Chang on that trip. He only meet with Stan Shih.
Later, Morris Chang, Stan Shih, and Chin-Tay Shih (ITRI) went visiting Samsung fabs in Korea.


I got to say Samsung former Chairman Lee Kun-Hee had great vision. He knew Taiwan could be a threat at that time.
 
Interesting story, I had not heard that. That discussion probably motivated Morris even more. What book are you referencing? I always wondered why Samsung waited so long to get into the foundry business.
 
Interesting story, I had not heard that. That discussion probably motivated Morris even more. What book are you referencing? I always wondered why Samsung waited so long to get into the foundry business.
It's memoirs of Industrial Technology Research Institute Chairman Chin-Tay Shih.


After that trip, Stan Shih (Acer) joint venture with TI for a DRAM company later merged with TSMC in 2000.
Samsung former Chairman Lee Kun-Hee Taiwanese Government won't support you enough money. You won't be able to compete with Samsung. Why not paying $100m royalty to Samsung and do it together?
 
It's memoirs of Industrial Technology Research Institute Chairman Chin-Tay Shih.


After that trip, Stan Shih (Acer) joint venture with TI for a DRAM company later merged with TSMC in 2000.
Samsung former Chairman Lee Kun-Hee Taiwanese Government won't support you enough money. You won't be able to compete with Samsung. Why not paying $100m royalty to Samsung and do it together?
It's interesting that Taiwan government didn't want to and couldn't afford to throw unlimited money into TSMC, UMC, and other Taiwanese semiconductor businesses. This policy actually helps those companies who can survive in this relatively free market environment to become more competitive and more careful about their own actions. For those who can't survive they either closed or sold to other companies without dragging down the whole economy.
 
It's interesting that Taiwan government didn't want to and couldn't afford to throw unlimited money into TSMC, UMC, and other Taiwanese semiconductor businesses. This policy actually helps those companies who can survive in this relatively free market environment to become more competitive and more careful about their own actions. For those who can't survive they either closed or sold to other companies without dragging down the whole economy.
That was 1988. Success was not guaranteed. If it's year 2000 that will be another scenario.
 
Anther interesting story (not from this book), is one VP of TSMC.
In the very early stage, Morris told him TSMC's competitors will be first tier companies.
He told Morris how is that possible that HP's R&D expensive is hundreds times of TSMC.
Morris Chang scold him not aiming high.
 
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