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UMC plans additional Singapore wafer fab

Business news |
By Peter Clarke


Foundry United Microelectronics Corp. (Hsinchu, Taiwan) is planning to spend US$5 billion on a wafer fab for 22nm silicon next to its existing 300mm wafer fab (Fab 12i) in Singapore.

The first phase of the fab will have a manufacturing capacity of 30,000 wafer starts per month with production expected to commence late in 2024.

The fab, known as Fab 12i P3, will make circuits using UMC’s 22/28nm processes. UMC said that to account for the Fab 12i expansion its capital expenditure budger for 2022 is being increased to US$3.6 billion.

Customers paying

The funding of the fab is being backed by customers who have signed multi-year supply agreements to secure capacity in 2024 and beyond, UMC said. UMC’s 22/28nm technologies are used for 5G, IoT, and automotive ICs.

Singapore is the center for UMC’s specialty process development and processes to be used at 12i P3 include embedded high voltage, embedded non-volatile memory, RF-SOI, and mixed signal CMOS.

Stan Hung, chairman of UMC, said: “We are very excited to expand our 300mm operations in Singapore, which will enable the company to further diversify our manufacturing footprint. Over the past two decades, UMC has benefited from Singapore’s vision to attract high-tech firms through strong infrastructure, ecosystem, and talent pool. Our Singapore fab is UMC’s flagship innovation hub and numerous new R&D projects in collaboration with customers will enter production when the new facility comes online. The semiconductor undersupply has crystallized the need for greater visibility and mutual risk mitigation within the industry. This investment is the result of the shared vision and close collaborations with our key customers. We are committed to doing our part to restore balance in the industry value chain and to the long-term success of our customers.”

Related links and articles:

www.umc.com

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