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Old 12-May-2004, 17:09   #1
nelg
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Join Date: Jan 2003
Location: Toronto
Posts: 1,557
Default Will the real winner be decided by supply constraints?

Will the real winner be decided by supply constraints?

I just read this article. It seems that even if demand is high, there may be a ceiling on sales due to supply constraints. Maybe the near term success of the Nv40 and R420 will come down to supply contract and yields. Does anyone think that Nvidia’s move to IBM will hurt their relationship with TSMC? Will ATI’s increased sales and Xbox 2 contract (to be fabed at TSMC) help them secure a larger portion of capacity?

Quote:
Chip manufacturing capacity is getting tight, but Taiwan Semiconductor Manufacturing Co. Ltd. (TSMC) says it still has wafers for sale. The only catch is that customers must promise not to send a design to one of its competitors.
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