Sunnyvale, Calif. - Dan Mahoney thinks many chip vendors, trying to cut production costs by aligning with foundries, are racing headlong down a road to failure. In a time of rapid technological change, he argues, these fabless chip vendors will be unable to shift gears as nimbly as integrated device manufacturers and could wind up trailing them by as much as three years. The chief operating officer of Renesas Technology Corp., Mahoney predicts "the integration of design and process technology will give IDMs an 18- to 36-month head start over foundries."
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