TSMC, Samsung to flex foundry muscle

TAIPEI: Morris Chang, the father of Taiwan’s chip sector, once shrugged off Samsung Electronics’ entry into the foundry business — making private-label semiconductors under contract for others. Now, he calls the South Korean group the industry’s “700lb gorilla” with formidable financial firepower.

Samsung’s rise highlights the rapid changes in one of Asia’s top industries — where speed, creativity and deep pockets count in a race to make chips smaller, but smarter, to keep up with a consumer shift from computers to mobile gadgets such as Apple Inc’s iPhone and iPad.

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