Taiwan Foundries cutting 28nm prices

Taiwan foundries are going to be cutting prices of the 28nm Wafer fabrication process by around 10 to 15%. Since the 28nm process has inherently lower production costs than that of the older 40nm process it makes sense for the company to pass on the savings. The move has been taken in an effort to boost confidence in the 28nm market as currently demand is sluggish to take on new 28nm inventories of stock. The reason for this is companies are unsure whether consumers will want to push ahead and buy new 28nm technologies or continue to purchase older and cheaper 40nm ones.

But on a positive note it has been reported:

Taiwan Semiconductor Manufacturing Company (TSMC) continues to see orders heat up for advanced 28nm technology, according to sources at non Taiwan-based chip suppliers.

Source: DigiTimes