TSMC rejects and order from ATI to manufacture its chipsets according to Digitimes. "With Intel massively ramping 865 chipset production, Taiwan Semiconductor Manufacturing Company (TSMC) has decided to reject taking an order for entry-level chipset production from ATI Technologies, according to sources at motherboard makers.
Strangely enough, the sources claim that TSMC rejected the orders as it is worried about inventory issues ATI may face, as the foundry believes that the entry level chipset market is moving toward oversupply. The sources indicated that ATI attempted to place the orders for entry-level chipsets at TSMC in an attempt to target potential demand in emerging markets including Brazil, China, India and Russia."
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