In the core and the joint science and technology joint venture $100 million construction of packaging and testing plant

, capital leading foundry SMIC selected partners finally released the beta! In 3, officially announced the core, with Singapore packaging and testing plant (United Test and Assembly technology Center Limited; UTAC) to reach an agreement, the two sides jointly invested $100 million to set up a memory and logic IC beta in Sichuan Chengdu section of packaging and testing plant, mainly to undertake in order and the core in the core, with 51% holding joint science and technology is holding 3, the fastest expected in the fourth quarter of 2005 (Q4) will be entered into mass production.

This message, Taiwan packaging industry said, not surprised, just feel very grievance and resentment! Taiwan packaging and testing plant further pointed out that, due to a junior high school when the core message is the packaging industry is well known, although the core executive Zhang Rujing intends to initially find Taiwan testing factory cooperation, but due to the policy of Taiwan government, Taiwan packaging and testing plant actually know no hope; but the core is urgent, had to seek foreign investment packaging and testing partners had spread may beneficiaries include eikner (Amkor) and ChipPAC (STATS ChipPAC), but the United technology partners have been finalized Taiwan color, highlighting the Taiwan packaging and testing industry in the international arena, it still occupies a space for one person.

According to the agreement, SMIC will invest $51 million, get 51% stake in joint venture packaging industry, science and technology is combined with capital, technology, intellectual property shares, the factory has a 30% stake, the remaining 19% shares from other investors and employees.

In addition, according to the cooperation between the two sides, since 2009 except for the combined technology and core investors, will have the right to request the joint venture company, bought its stake in a certain agreement, the exercise of rights will be carried out in accordance with the relevant legal rules; however, according to the stock exchange of Hongkong limited the rules governing the listing of securities company, investors and the employee shall not be combined with science and technology associates of this joint venture case "".

SMIC also revealed that the new joint venture assembly plant, located in Sichuan Chengdu high tech Zone West Park Export Processing Zone, covers an area of about 40 thousand square meters, the present stage has begun construction plant, estimated after the completion of the construction area will be 11 thousand square meters, the fastest in 2005 entered the Q4 production, and the initial investment the total amount of $175 million, so the two sides in the future joint venture will exceed the amount set for $100 million, as for the aspects of the production line, in addition to the memory test, including DDR and DDRII packaging, packaging and testing production line will also set up the logical IC.

In recent years committed to the expansion of core production line and improve process capability, the total yield of Q4 in 2004 said, a total of 8 inch wafer production has reached 120 thousand, while the first quarter of 2005, the 8 inch wafer production capacity, output has more than 130 thousand pieces, the existing Shanghai 3 8 inch plant, Beijing 1 12 factory and Tianjin 1 inch 8 inch plant; although the core in previously and eikner and ChipPAC both after the signing period beta cooperation agreement, but in view of the fact that some wafer output growth greatly, leading to a shortage of capacity after the beta phase, therefore since 2004 after the packaging factories are eager to find partners.