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Global chip plant usage rate falls to 86 p.c.

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CIOL Bureau
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TOKYO:  The utilisation rate of the world's microchip plants fell to 86.4 per cent in October-December from 88.5 per cent the previous quarter, an industry group said on Wednesday.

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The data is compiled by Semiconductor International Capacity Statistics (SICAS), a group of about 40 major chip makers including Intel Corp., Samsung Electronics Co. Ltd and Texas Instruments Inc.

Utilisation rates below 90 per cent can discourage chip makers from building new factories, a negative development for suppliers of chip-making equipment such as Applied Materials Inc. and Tokyo Electron Ltd.

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