With advancement in semiconductor technology, the cost of wafer fabrication is ever increasing, resulting in increased business risk to an integrated device manufacturer (IDM). Most of the semiconductor companies today either operate in fabless or in a hybrid model to a certain extent. It is essential for a foundry to thoroughly understand how to conduct business in the fabless, or outsourced industry environment. To satisfy our customer, we have to face the challenges of the current business model of semiconductor companies and position ourselves with the right strategies for product support. To do so, the following points have to be addressed: 1. TIME TO THE MARKET of a product with the latest technology is critical for a semiconductor company.
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