Standard and Poor’s Ratings Services (S&P) said it would keep its outlook on Far EasTone Telecommunications Co (遠傳電信) unchanged as the newly announced tie-up with China’s leading telecoms operator, China Mobile Ltd (中國移動), may not bring immediate help to its credit profile.
Far EasTone, the nation’s third-largest telecoms carrier, announced last Thursday that China Mobile had sought to purchase a 12 percent stake in the company for NT$17.77 billion (US$536 million) via private placement as part of extensive cooperation plans, including joint procurement, roaming services, data and value-added services, and network and technology advancement.
“We expect the alliance will not materially change Far EasTone’s credit profile in the short term,” S&P said in the statement.
Far EasTone’s stable domestic revenue, underpinned by its strong position in Taiwan’s wireless telecommunications sector, will continue to support its credit quality, it said. S&P rated Far EasTone as “A minus/stable.”
The plan enables Far EasTone to provide a testing platform for Taiwan’s software providers and manufacturers interested in TDSCDMA technology developed by Chinese companies.
Taiwan would remain in the same international network for carrying out cross-border payments and would not be marginalized on the world stage, despite jostling among international powers, central bank Governor Yang Chin-long (楊金龍) said yesterday. Yang made the remarks during a speech at an annual event organized by Financial Information Service Co (財金資訊), which oversees Taiwan’s banking, payment and settlement systems. “The US dollar will remain the world’s major cross-border payment tool, given its high liquidity, legality and safe-haven status,” Yang said. Russia is pushing for a new cross-border payment system and highlighted the issue during a BRICS summit in October. The existing system
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is expected to grow its revenue by about 25 percent to a new record high next year, driven by robust demand for advanced technologies used in artificial intelligence (AI) applications and crypto mining, International Data Corp (IDC) said yesterday. That would see TSMC secure a 67 percent share of the world’s foundry market next year, from 64 percent this year, IDC senior semiconductor research manager Galen Zeng (曾冠瑋) predicted. In the broader foundry definition, TSMC would see its market share rise to 36 percent next year from 33 percent this year, he said. To address concerns
Intel Corp chief financial officer Dave Zinsner said that a formal separation of the company’s factory and product development divisions is an open question that would be decided by the chipmaker’s next leader. Zinsner, who is serving as interim co-CEO following this month’s ouster of Pat Gelsinger, made the remarks on Thursday at the Barclays technology conference in San Francisco alongside co-CEO Michelle Johnston Holthaus. Intel’s struggles to keep pace with rivals — along with its deteriorating financial condition — have spurred speculation that the next CEO would make dramatic changes. That has included talk of a split of the company’s manufacturing
PROTECTIONISM: The tariffs would go into effect on Jan. 1 and are meant to protect the US’ clean energy sector from unfair Chinese practices, the US trade chief said US President Joe Biden’s administration plans to raise tariffs on solar wafers, polysilicon and some tungsten products from China to protect US clean energy businesses. The notice from the Office of US Trade Representative (USTR) said tariffs on Chinese-made solar wafers and polysilicon would rise to 50 percent from 25 percent and duties on certain tungsten products would increase from zero to 25 percent, effective on Jan. 1, following a review of Chinese trade practices under Section 301 of the US Trade Act of 1974. The decision followed a public comment period after the USTR said in September that it was considering
RSS