TSMC expansion to benefit UIS, Yuanta saysBy Chen Cheng-hui / Staff reporterUnited Integrated Services Co (UIS, 漢唐集成), which provides electric system integration engineering services, is part of a supply chain that is set to benefit from Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) multiyear capacity expansion plans, despite weak sales and earnings growth so far this year, Yuanta Securities Investment Consulting Co (元大投顧) said on Friday. Revenue in the first four months of this year declined 21.94 percent to NT$7.72 billion (US$278.49 million), from NT$9.89 billion a year earlier, UIS data showed. Photo: Grace Hung, Taipei Times“We remain positive on UIS given it has 70 percent to 80 percent order allocation from TSMC for clean room electrical and mechanical engineering services, and is thus a major beneficiary of its capacity expansion,” Yuanta analysts wrote in a research note. UIS helps TSMC build manufacturing facilities, including the chipmaker’s advanced Fab 14, which produces 5-nanometer chips, and Fab 18, which is to begin volume production of 3-nanometer chips in the second half of next year. Apart from orders from TSMC’s new projects, Yuanta analysts said that UIS in the near term would benefit from capacity expansion at US-based DRAM chipmaker Micron Technology Inc’s fab in Taichung’s Houli District (后里) and Powerchip Semiconductor Manufacturing Corp’s (力積電) fab in Miaoli County’s Tongluo Township (銅鑼).

Source: Taipei Times June 06, 2021 15:56 UTC