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October 7, 1999

Macronix Plans New Fab and Outsources Chip Production

By CBR Staff Writer

Taiwan chip maker Macronix International Corp plans to invest NT$10bn ($315m) this year to increase the output of its second fabrication plant and another NT$30bn ($945m) next year to build a third wafer plant. Macronix executive Tom Yu said that rising demand for mobile phones, digital cameras and internet switch products has spurred the growth of the IC market this year. Macronix has seen a steady inflow of orders for mask ROM and flash memory chips, he said. The production lines are operating around the clock to meet demand, and are expected to remain that way at least until the second quarter of next year, he said.

The third fab will concentrate on producing flash memory chips and embedded memory products, and will initially have a monthly production of 35,000 8-inch wafers. Yu said that because of the demand for flash memory chips Macronix has also signed a five-year contract with IsraelÆs Tower Semiconductor Ltd which will serve as an original equipment manufacturer for Macronix’s 8MB flash memory chip products.

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