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Old Dec 18, 2012, 10:45 PM   #1
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'Project Azalea' - A TSMC Chip Factory Dedicated to Building Processors for iDevices?




According to The Oregonian, Business Oregon, the state's economic development agency, and officials in New York may both be competing to attract a massive chip manufacturing company, which uses the code name "Azalea."
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Business Oregon -- the state's economic development agency -- confirms that it's recruiting a company that goes by the codename "Azalea." The department declined to discuss details of the effort, citing a nondisclosure agreement with the unnamed company.

However, officials in New York have been actively pursuing what's known there as "Project Azalea." Documents obtained by The Business Review, an Albany, N.Y., weekly, describe that project as a 3.2-million-square-foot semiconductor factory that would employ at least 1,000 people.

The cost of building and equipping a new semiconductor factory -- a fab, in the chip industry's parlance -- runs in the billions of dollars. That's attracted great interest to the chatter around Azalea, which at this point is largely speculative.

Within the chip industry, the theory is that the fab would be a contract facility to build microprocessors for Apple's mobile devices, the iPhone and iPad.
The*EETimes believes that this mysterious "Azalea" chip factory is none other than the Taiwan Semiconductor Manufacturing Company, which appears to be waffling between creating a new factory in New York or Oregon.

There have been several rumors over the last two years linking Apple to TSMC, pegging the semiconductor company as Apple's likely partner as Apple moves away from Samsung because of the ongoing dispute between the two companies.

Samsung currently builds all of the custom A-series processors that Apple uses in its iOS devices in an Austin, Texas plant, including the newest 32-nanometer process A6 chip used in the iPhone 5 and the A6X chip used in the fourth generation iPad. Rumors have, however, suggested that Apple is interested in making a deal with TSMC instead, both to cut ties with Samsung and to take advantage of TSMC's 20-nanometer process for use in late 2013.

Earlier this year, TSMC turned down both Apple and Qualcomm, who placed bids for exclusive access to TSMC's chip production, but the company did indicate that it might possibly devote a factory to a single customer. This suggests that if TSMC is indeed behind "Project Azalea," then the upcoming U.S.-based chip factory could potentially be used to create chips for Apple's iDevices.

Article Link: 'Project Azalea' - A TSMC Chip Factory Dedicated to Building Processors for iDevices?
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Old Dec 18, 2012, 10:49 PM   #2
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If this is true, I wouldn't mind seeing some production diverted from Samsung. Though I doubt it'll have the capacity to replace Samsung, nor is that the intention.
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Old Dec 18, 2012, 10:54 PM   #3
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Message to Samsung from Apple...Arm-ageddon outa here. Apple declares nucular war.
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Old Dec 18, 2012, 10:56 PM   #4
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Bye bye Samsung!
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Old Dec 18, 2012, 10:58 PM   #5
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Old Dec 18, 2012, 11:09 PM   #6
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Go Oregon! I live about an hour away from Azalea.
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Old Dec 18, 2012, 11:13 PM   #7
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Azalea -> Tower -> flash.
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Old Dec 18, 2012, 11:16 PM   #8
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Quote:
Originally Posted by duneriderltr450 View Post
Go Oregon!
As a New Yorker, I second this! The New York Times recently published articles about how companies that get concessions from state and local governments rarely deliver on their promises.
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Old Dec 18, 2012, 11:30 PM   #9
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Will buy US-made anything at this point.

After reading up on quantum computing, it'd be pretty wild to see Apple spend the $ and do something under their own roof that just up and blew everyones doors off .
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Old Dec 18, 2012, 11:31 PM   #10
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Old Dec 18, 2012, 11:36 PM   #11
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They'll be manufacturing "engines" there.
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Old Dec 18, 2012, 11:59 PM   #12
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Originally Posted by duneriderltr450 View Post
Go Oregon! I live about an hour away from Azalea.
Do you really want to have a semiconductor fab in your home town? Please read this.

http://www.huffingtonpost.com/2012/1...n_2298294.html

Go find out the chemical used in semiconductor manufacturing. I bet you won't put those chemical in your garage.
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Old Dec 19, 2012, 12:10 AM   #13
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Oh Apple! The decrepit, buckle of the Rust Belt city Buffalo is yearning for your jobs! Help revive a true American city like no other company can!
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Old Dec 19, 2012, 12:10 AM   #14
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Originally Posted by apple-win View Post
Do you really want to have a semiconductor fab in your home town? Please read this.

http://www.huffingtonpost.com/2012/1...n_2298294.html

Go find out the chemical used in semiconductor manufacturing. I bet you won't put those chemical in your garage.
In that case, GO Oregon!!
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Old Dec 19, 2012, 12:11 AM   #15
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Originally Posted by apple-win View Post
Do you really want to have a semiconductor fab in your home town? Please read this.

http://www.huffingtonpost.com/2012/1...n_2298294.html

Go find out the chemical used in semiconductor manufacturing. I bet you won't put those chemical in your garage.
Intel has several fabs in Hillsbro Oregon. So yeah, go Oregon!
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Old Dec 19, 2012, 12:19 AM   #16
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In this case Samsung just lost a lot of business.
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Old Dec 19, 2012, 12:25 AM   #17
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Intel has several fabs in Hillsbro Oregon. So yeah, go Oregon!
Many Californians like to move out to Oregon, so does semiconductor fab More chemical to you! (I meant Oregon)

If I could choose which industry stays and which goes, I prefer software to stay, hardware to go. I don't like polution.
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Old Dec 19, 2012, 12:40 AM   #18
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That explanation was more convoluted than it needed to be. I had to read it twice to get the idea that nothing particularly complicated was happening.
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Old Dec 19, 2012, 12:52 AM   #19
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Old Dec 19, 2012, 12:58 AM   #20
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Hey Apple...

there is a TON of unused clean-room space ready and waiting for you at the IBM East Fishkill, NY complex!!! With experienced workers ready for employment!!!
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Old Dec 19, 2012, 01:15 AM   #21
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...suggested that Apple is interested in making a deal with TSMC instead, both to cut ties with Samsung and to take advantage of TSMC's 20-nanometer process for use in late 2013.
And cutting ties with Samsung isn't just sour grapes. By ordering specific components from Samsung, Apple is tipping off Samsung with future iDevice specs (and possible new products).

Apple is also developing their own advanced chip designs, which they would obviously want to hide from competitors. Apple was just awarded a patent on SoC package-on-package technology used in its AX chips. That kind of technology is best kept away from Samsung, patents or no patents.

Source:
http://appleinsider.com/articles/12/...ies-processors
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Old Dec 19, 2012, 01:18 AM   #22
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Hey Apple...

there is a TON of unused clean-room space ready and waiting for you at the IBM East Fishkill, NY complex!!! With experienced workers ready for employment!!!
To be honest, I don't think IBM is really interested in any kind of Apple Products, IBM focuses on Super Computer/High end server kinda processors.
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Old Dec 19, 2012, 01:20 AM   #23
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Hey Apple...

there is a TON of unused clean-room space ready and waiting for you at the IBM East Fishkill, NY complex!!! With experienced workers ready for employment!!!
Seriously, there is no need to have another fab on the planet earth. Semiconductor manufacturing is not a clean business.

If there is not enough fab capacity, raise the price for consumers. It is law of supply and demand.

Modern electronic industry belongs to entertainment sector. It's all about watching the same Hollywood movies (TV shows) wherever or whenever people want to. It requires a lot of PhD to make this entertainment happens. I wish Apple, IBM, Intel and etc, switch gear to, let's say... medical, energy, transportation sectors. It's better for mankind.
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Old Dec 19, 2012, 01:33 AM   #24
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Well who else could TSMC target to get their customer base up.
Samsung are pretty much biggest Android device makers. Not many other big wins possible in that space. Windows Mobile and RIM are interesting but not enough demand to drive interesting things.

General computing, games machines and the like are all fair mature saturated.
Really leaves Apple as their only option to do something marketable or interesting.
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Old Dec 19, 2012, 02:56 AM   #25
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Oregon's single-sales factor business tax will weigh in its favor. It is a state law that says that if a product is manufactured in Oregon and sold outside of Oregon, the manufacturer is not liable for state income tax on the sale.
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