TSMC to Build Solar Cell Factory by 2010

Contract chip manufacturer, Taiwan Semiconductor Manufacturing Company (TSMC), has planned to construct its first solar cell plant by the end of 2010. The company’s board of directors has approved a sum of US$218 million for this new project.

According to a TSMC representative, the investment on the new solar cell factory will not impact the company’s capital expenditure plan for 2010. TSMC has assigned $100 million for a number of new ventures, including the solar and $5.8 billion for the chip division.

In recent years, TSMC has extended its business into the clean energy technology. For instance, the company has planned to construct a LED research center and factory in Taiwan. In 2009, the company acquired 20% stake in Taiwan-based solar cell manufacturer, Motech Industries.

In addition, TSMC has also signed a technology and supply agreement with a PV modules manufacturer, Stion. Under that agreement, TMSC will produce the solar cell modules for Stion, and both the companies will collaborate to develop Stion’s technology.

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