Under the co-development agreement, LSI Logic and TSMC will deploy a jointly developed 0.13-micron process technology. LSI will support customer design programs for leading-edge system-on-a-chip products utilizing this advanced process. Resulting products will be produced in both LSI Logic’s and TSMC’s world-class manufacturing facilities. The two companies have also agreed to explore collaborative opportunities on next generation process technology nodes, which will be ahead of published industry roadmaps.

This agreement strengthens LSI Logic’s process technology and manufacturing roadmap by incorporating the best of both companies’ advanced process technologies within LSI Logic’s manufacturing facilities, said Joe Zelayeta, LSI Logic executive vice president of Worldwide Operations. We fully intend to utilize these capabilities to better serve our customer base around the world.

TSMC is pleased to cooperate with system-on-chip leader LSI Logic on this advanced 0.13-micron process technology, said F.C. Tseng, TSMC president. The technology developed under this agreement expands TSMC’s 0.13-micron core technology, which has been in production since last December. We will also provide LSI Logic with additional world-class manufacturing capacity.

The agreement continues an industrywide trend toward the sharing of process technology research and development costs and the increased use of foundries to efficiently support customer demand levels.

We are undertaking this strategic initiative to better serve our customers to compete in fast-growing global communications and storage markets, said Ronnie Vasishta, LSI Logic vice president of Technology Marketing. This agreement will ensure that as the company grows we continue to focus company resources on technology development projects that provide the greatest added value to our customers.