Artificer60
Well-known member
Maybe I'm missing something here, but I feel like this is the type of calculation that lead Otellini to pass on making chips for the Apple iPhone.
Intel: New Products must generate 50% gross margin to get the green light
- Thread starter Xebec
- Start date
siliconbruh999
Well-known member
Exactly no risk no reward
hist78
Well-known member
If a 50% gross profit margin is so easy to achieve, we should have seen many semiconductor companies doing that. I think it's a tough and tricky requirement.
I started thinking about TSMC's journey into the advanced packaging services.
"It's interesting how important TSMC's advanced packaging solutions, like CoWoS, have become for companies like TSMC, Nvidia, Apple, AMD, and many others, driving their products, revenue, and profit. It wasn’t like this when TSMC first introduced its advanced packaging solutions about 14-15 years ago. In fact, Nvidia was one of the companies that rejected the idea back in those early days.
TSMC's first win in advanced packaging came from Xilinx, which placed an order for just 50 wafers per month. Yes, a whopping 50 wafers per month!
TSMC's former CTO, Shang-Yi Chiang, recalled that he became the subject of laughter at TSMC for investing about $100 million and 400 engineers into the R&D for advanced packaging—only to secure an order of 50 wafers per month."
Source: https://semiwiki.com/forum/threads/...says-morgan-stanley-–-report.21080/post-75439
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I think that is the target. Then, IFS can provide the product team with same leeway.