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Nvidia deeply unhappy with TSMC

MrSeb (471333) writes | more than 2 years ago

Hardware 0

MrSeb writes "Excerpt from the story: 'One of the unspoken rules of customer-foundry relations is that you virtually never see the former speak poorly of the latter. Only when things have seriously hit the fan do partners like AMD or Nvidia admit to manufacturing problems, and typically only after postponed launches and poor availability have made protestations that everything is fine unsustainable. That’s why we were surprised — and our source testified to being stunned — that Nvidia gave such a damning presentation at the International Trade Partner Conference (ITPC) forum last November. Many of the company’s complaints regarding its current partnership with TSMC are exactly what you’d expect given the manufacturing problems the entire industry is facing. What’s surprising are Nvidia’s remarks concerning TSMC’s current cost curves and manufacturing ramps. This is normally the sort of information discussed quietly between a foundry and its customers or by the press with help from various anonymous sources. Discussing the problems publicly is a sign of just how frustrated the company has become.'

The slides from the presentation basically state that there's no reason to push beyond 28nm, and that costs are actually rising as processes shrink. Ultimately Nvidia dictates, in rather angry language, that it wants TSMC to act more like Intel, which is an Integrated Device Manufacturer (it handles both design and manufacturing). As a foundry that needs to cater to a huge number of different clients, this is something that TSMC can't really do — but even so, Nvidia’s willingness to stand up and talk about these problems is an “Emperor’s new clothes” sort of moment."

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