United Integrated Services Co Ltd (UIS, 漢唐), which helps clients build manufacturing facilities and install clean rooms, yesterday said that it plans to set up a subsidiary in the US next year, following in the steps of its top client, Taiwan Semiconductor Manufacturing Co (TSMC, 台積電).
By managing costs well, UIS expects its US subsidiary to turn a profit in the first year of operation, company president Benny Chen (陳柏辰) told an investors’ conference in Taipei.
UIS is still in talks with TSMC about proceeding with its US fab construction project, Chen said.
Photo: Hung Yu-fang, Taipei Times
TSMC last week said that it plans to set up a wholly owned US subsidiary in Arizona with paid-in capital of US$3.5 billion after unveiling a plan to build a US$12 billion fab in the state.
UIS helps the world’s biggest contract chipmaker build manufacturing facilities, including the chipmaker’s most advanced factories, Fab 14 and Fab 18 in Tainan. Fab 14 produces 5-nanometer chips, the most advanced chips currently available, while Fab 18 is to enter volume production of 3-nanometer chips in the second half of 2022.
UIS gave an upbeat business outlook for next year, saying that revenue is expected to “remain steady” compared with this year, supported by resilient demand from overseas and robust domestic demand.
The company earlier this year forecast that revenue would hit a record high this year.
“This year, the company’s operation is boosted by explosive demand from Taiwan’s semiconductor market. Next year will be another good year; the semiconductor industry continues to be a major driver,” Chen said.
UIS has signed contracts totaling NT$43 billion (US$1.49 billion) with clients this year, Chen said, adding that NT$20 billion of that amount is to be realized by the end of this year
Only 10 percent of the NT$20 billion is coming from overseas markets, he added.
The US-China trade dispute has stalled factory construction plans in China this year, Chen said.
Some of the company’s Chinese clients might restart fab construction next year, but most of them would likely be less advanced fabs, he said.
UIS saw its net profit soar 55 percent year-on-year to NT$3.15 billion in the first three quarters of this year, from NT$2.03 billion in the same period last year. That translated into earnings per share of NT$16.52, up from NT$10.67.
Revenue skyrocketed 72 percent to NT$28.81 billion in the January-to-September period from NT$16.74 billion a year earlier.
PROTECTION: The investigation, which takes aim at exporters such as Canada, Germany and Brazil, came days after Trump unveiled tariff hikes on steel and aluminum products US President Donald Trump on Saturday ordered a probe into potential tariffs on lumber imports — a move threatening to stoke trade tensions — while also pushing for a domestic supply boost. Trump signed an executive order instructing US Secretary of Commerce Howard Lutnick to begin an investigation “to determine the effects on the national security of imports of timber, lumber and their derivative products.” The study might result in new tariffs being imposed, which would pile on top of existing levies. The investigation takes aim at exporters like Canada, Germany and Brazil, with White House officials earlier accusing these economies of
EARLY TALKS: Measures under consideration include convincing allies to match US curbs, further restricting exports of AI chips or GPUs, and blocking Chinese investments US President Donald Trump’s administration is sketching out tougher versions of US semiconductor curbs and pressuring key allies to escalate their restrictions on China’s chip industry, an early indication the new US president plans to expand efforts that began under former US president Joe Biden to limit Beijing’s technological prowess. Trump officials recently met with their Japanese and Dutch counterparts about restricting Tokyo Electron Ltd and ASML Holding NV engineers from maintaining semiconductor gear in China, people familiar with the matter said. The aim, which was also a priority for Biden, is to see key allies match China curbs the US
Teleperformance SE, the largest call-center operator in the world, is rolling out an artificial intelligence (AI) system that softens English-speaking Indian workers’ accents in real time in a move the company claims would make them more understandable. The technology, called accent translation, coupled with background noise cancelation, is being deployed in call centers in India, where workers provide customer support to some of Teleperformance’s international clients. The company provides outsourced customer support and content moderation to global companies including Apple Inc, ByteDance Ltd’s (字節跳動) TikTok and Samsung Electronics Co Ltd. “When you have an Indian agent on the line, sometimes it’s hard
‘SACRED MOUNTAIN’: The chipmaker can form joint ventures abroad, except in China, but like other firms, it needs government approval for large investments Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) needs government permission for any overseas joint ventures (JVs), but there are no restrictions on making the most advanced chips overseas other than for China, Minister of Economic Affairs J.W. Kuo (郭智輝) said yesterday. US media have said that TSMC, the world’s largest contract chipmaker and a major supplier to companies such as Apple Inc and Nvidia Corp, has been in talks for a stake in Intel Corp. Neither company has confirmed the talks, but US President Donald Trump has accused Taiwan of taking away the US’ semiconductor business and said he wants the industry back
RSS