A Study on the Collaboration Opportunities in the Semiconductor Industry Between Taiwan and Mainland Chinnna
Chen Chu sheng
ABSTRACT The integrated circuit (IC), an essential component of electronic products, provides the impetus for improving electronic technologies. Both Taiwan and Mainland China view IC industry as a targeted area for future growth. The Taiwanese IC industry has continuously grown at an accelerated pace, with local companies attempting to fully exploit the Mainland China market. Nevertheless, governmental authorities and risks involved in investing in Mainland China. The Mainland China IC industry is still in its infant stage, focusing mainly on foundry and packaging. The IC industry views the foundry as a targeted for future growth, and Mainland China can take advantage of cheap manpower in packing industry. The potential for collaboration between Taiwan and Mainland China is quiet promising, as both complement each other in areas such as capital technology and manpower. This study analyzes the strengths and limitation of possible collaboration between Taiwan and Mainland China. A model of collaboration between Taiwan and Mainland China in the IC industry is also constructed.