Winbond sells 200mm fab to VIS

(Taipei News)Winbond Electronics Corporation announced that yesterday the Board of Directors has approved the deal to sell the 200mm fab, which is located in Li-Shin Rd. Hsinchu Science Park, to Vanguard International Semiconductor Corporation (VIS) for about 8.3 billion NTD. The trade includes factory, facilities, manufacture equipments, and parts. The property transfer time is scheduled to be on January 1st, 2008. Simultaneously, Winbond and VIS also signed a long-term foundry contract from January 2008 to December 2011. VIS promises that they will give precedence to approximately 700,000 pieces of wafer foundry service to Winbond.

Winbond’s 200mm fab completed and started production in 1998. It focuses on DRAM manufacturing. After many upgrades and improvements, the fab production has achieved 40,000 pieces per month that can be used to manufacture 0.11μm DRAM product and 0.13μm Flash product. However, the 300mm fab has become the mainstream of memory IC manufacturer today.  The process technology has also improved to 90 nm and below. 200mm fab gradually lost its competitiveness. After the sale of 200mm fab, Winbond will be able to transfer the capital and intellectual people to Central Taiwan Science Park (CTSP)for 300mm fab expansion plan that will help to maintain its exceptional competitiveness at memory IC business.

Winbond’s wafer testing and R&D departments in Li-Shin Rd. Site will rent the office from VIS and stay at present location temporarily. They are expected to be transfer gradually to CTSP factory and the new R&D building in front of THSRC Chupei Station in 2 years.

The lengthy verification period and long product life cycle are the features for both Winbond’s Specialty Memory IC product and VIS’s foundry service. Hence, even if the contract of asset transaction will be signed in the end of March, the formal asset transfer is scheduled to take place on January 1st, 2008. In next 9 months, VIS will assist Winbond implementing the logic process technology in the 200mm fab. Besides, the long-term foundry contract started in 2008 will assure Winbond’s customers having sufficient time to verify next generation product and transfer to 300mm fab. During the transferring period, the customers do not need to worry about the shipment, amount, cost, and quality as they will not be affected.

Both companies have expressed that this deal has fully considered the industrial traits of each company. During the transition, the task arrangement has been optimized to satisfy both their customers and company growth demands. It is a win-win collaborative plan.


    Wilson Wen
    Vice President of Administrative Center

News Liaison
    Mike Liu
    Deputy Director

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