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AMD Amends Wafer Supply Agreement with GlobalFoundries to Achieve Greater Flexibility

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rjohnson11
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Wednesday, January 30, 2019 5:47 AM (permalink)
https://www.overclock3d.net/news/misc_hardware/amd_amends_wafer_supply_agreement_with_globalfoundries_to_achieve_greater_flexibility/1
 
AMD in its Q4-2018 Earnings Report disclosed that it has amended its Wafer Supply Agreement (WSA) with GlobalFoundries that frees it from paying a "7 nanometer tax." Under the older version of WSA, AMD would have had to pay a penalty to GlobalFoundries if it sourced processors from any other semiconductor foundry. The company got preferential pricing in return for the exclusivity. With GlobalFoundries discontinuing development of cutting-edge processes such as 7 nm and 5 nm, it makes sense for AMD to seek out other foundry partners, such as TSMC, and an amendment to the WSA was needed. With this amendment in place, AMD can go ahead and source 7 nm dies from TSMC without paying penalties to GlobalFoundries (GloFo). 
 
Makes sense to me because GloFo decided to dump 7 and 5 nm processes which is in my personal opinion a stupid decision. 

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    veganfanatic
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    Re: AMD Amends Wafer Supply Agreement with GlobalFoundries to Achieve Greater Flexibility Thursday, January 31, 2019 3:26 AM (permalink)
    the cost of smaller sizes is getting even the biggest players scared
     

      


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