[Semiconductor_Foundry] PSMC: Falling Behind the Major Taiwanese Foundries, but Demonstrating Strong Competence in Legacy Processes

 


[Posting: 2025.04.26]

Taiwan’s PSMC (Powerchip Semiconductor Manufacturing Corporation), which excels in legacy processes, operates both 200mm and 300mm FABs. The company is expanding specialty processes such as Power IC BCD (Bipolar-CMOS-DMOS), embedded NVM (Non-Volatile Memory) for MCU application and CIS into the automotive sector.
Its major clients include prominent IDMs and fabless companies like Infineon and ON Semiconductor, which together account for approximately 30% of its revenue, indicating PSMC's strong process competitiveness.

PSMC possesses mass production capabilities for planar transistors (up to the 28nm technology node) within its legacy processes, suggesting stable future revenue growth in the automotive sector.
Currently, there is a strong trend among fabless companies to seek NCNT (Non-China, Non-Taiwan) foundry options to mitigate geopolitical risks. This factor is expected to significantly influence PSMC’s future sales.
I will continue to study this carefully.


[Semiconductor] Powerchip Semiconductor (PSMC) Full Analysis: Major Customers, Competitor Comparison, and Revenue Breakdown (2025)

1. Company Overview

  • Company Name: Powerchip Semiconductor Manufacturing Corporation (PSMC, 力晶科技)

  • Founded: 1994

  • Headquarters: Hsinchu Science Park, Taiwan

  • Main Business: Foundry specializing in Legacy and Specialty processes

2. 2024 Financial Summary

ItemValue
2024 RevenueApproximately USD 2 billion
2024 Operating ProfitApproximately USD 220 million (Operating Margin: 11%)
Average Utilization RateAbout 80–85%

3. Production Capacity and FAB Overview

FABLocationWafer ProductionFeatures
P1, P2Hsinchu200mmLegacy, Specialty
P3Hsinchu300mmMixed Logic, BCD, CIS
P5Hsinchu300mmAutomotive Specialty
P6Miaoli300mmFocused on 28/45nm Industrial Applications

  • Total Capacity: Around 250K wafers/month

4. Strength in Legacy Process

  • Focus nodes: 90nm, 65nm, 55nm, 45nm, 28nm

  • Specialty processes:

    • BCD (Bipolar-CMOS-DMOS)

    • Embedded NVM

    • CMOS Image Sensor (CIS)

    • Power ICs (PMIC)

5. Major Application Areas

  • Automotive Semiconductors (MCU, Driver ICs)

  • Industrial Semiconductors (Sensors, Motor Drivers)

  • Consumer Electronics (Display Driver ICs, PMICs)

  • CMOS Image Sensors for mid-range smartphones

6. Major Clients

ClientMain Product LinesNotes
Infineon TechnologiesAutomotive ICs, Power ICsBCD-based automotive solutions
ON SemiconductorPower Devices, Image SensorsEntry-level CIS, Power ICs
SynapticsTouch Controller ICsFor smart devices
Renesas ElectronicsAutomotive MCUSupply via 65nm/55nm BCD
NovatekDisplay Driver ICs (DDI)Display applications
HimaxCMOS Image SensorsEntry-level smartphone CIS
Samsung Electronics (small volume)CMOS Image SensorsLimited OEM supply for entry smartphones

✅ Infineon and ON Semiconductor combined account for over 30% of PSMC’s revenue.

7. Revenue Breakdown by customer (2024)

CustomerRevenue Share (%)Notes
Infineon TechnologiesAround 18%Automotive ICs, Power ICs
ON SemiconductorAround 14%Power Devices, Entry CIS
SynapticsAround 8%Touch Controller ICs
Renesas ElectronicsAround 7%Automotive MCU
NovatekAround 6%Display Driver ICs
HimaxAround 4%CMOS Image Sensors
OthersAround 43%Various mid-tier clients

Summary:
Top 2 clients (Infineon + ON Semiconductor) contribute 32% of total sales, showing a high dependency on automotive and industrial semiconductors.

✅ As long as automotive and industrial demand remains strong, PSMC's revenue structure is expected to remain stable.

8. Technology Roadmap (Post-2025)

YearKey Initiatives
2025Mass production of 28nm/45nm industrial semiconductors
2026Launch of Automotive Grade 65nm/55nm processes
2027Expansion of Specialty Process (eNVM+, BCD+), research into SiC-based Power Devices

✅ Preparing to enter the next-generation SiC Power Semiconductor market.

9. Workforce and Salary

ItemValue
Total EmployeesApproximately 7,000
Average Annual SalaryAround NTD 1,400,000 (approx. USD 43,000)
Entry-level SalaryAround NTD 1,000,000 (approx. USD 31,000)

※ Competitive salary level among Taiwanese semiconductor companies with strong employee welfare benefits.

10. PSMC vs Competitors (UMC, Vanguard, TSMC Legacy)

ItemPSMCUMCVanguardTSMC (Legacy)
Main Focus90nm–28nm Legacy/Specialty55/40/28nm nodes180–90nm Legacy90–28nm Legacy
Key ClientsInfineon, ON Semi, SynapticsMediaTek, Novatek, RenesasTI, NXPBroadcom, Qualcomm
Number of FABs512+210+
Wafer Size200mm/300mm200mm/300mm200mm300mm
Specialty ProcessBCD, eNVM, CISAutomotive, CIS, Display ICsAnalog, PMICLegacy + advanced nodes
Cost CompetitivenessVery HighModerateVery HighLow
StrengthAutomotive/Industrial specializationBroad customer baseAnalog specializationPremium quality, high cost

✅ Summary

  • PSMC specializes in Legacy and Specialty processes and focuses on automotive and industrial semiconductor markets.

  • Key clients Infineon and ON Semiconductor make up over 30% of revenue, ensuring a solid business foundation.

  • From 2025, mass production of 28nm/45nm industrial semiconductors will strengthen PSMC’s position.

  • PSMC’s competitiveness lies in affordable pricing and specialty process strength, clearly distinguishing it from UMC, Vanguard, and TSMC’s Legacy division.

  • Despite global economic fluctuations, PSMC is well-positioned for stable growth due to its focus on automotive and industrial applications.

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