1.

1
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2
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• 1.  ????????
• ??????????????????

3
Time lines of science, technology, and economies
1600s
1700s
1800s
1900s
2000s
1600-futureGlobalization of science
1800-1950National industrializations
Scientific disciplinesof physics,
chemistry,biology, and mathematics
1950-futureGlobalization of industrialization
Industrializations ofEurope, North America,and
Japan, Engineeringdisciplines of
civil,mechanical, electrical, And chemical
engineering
Industrializations of ????????????engineering
disciplines of computer engineering
andbioengineering
1750-2000National progress in technology
2000-futureGlobalization of technology
Technologies of steampower, steel, textiles,
railroads, Steamships, chemicals,
telegraph, Telephone, radio, automobiles Airplanes
, etc.
Technologies of IC chipelectronics,
computers, and biotechnology
4
??????????????????????????????????
5
?????????,?????,???????,??????????

• ??????????
• David S. Landes

6
How to catch up????????
7
Utterbacks Technology Trajectories Models
Utterbacks Model
Kims Model
8
Improvement innovation
9
??????????
1600s
1700s
1800s
1900s
2000s
1600-futureGlobalization of science
1800-1950National industrializations
Scientific disciplinesof physics,
chemistry,biology, and mathematics
1950-futureGlobalization of industrialization
Industrializations ofEurope, North America,and
Japan, Engineeringdisciplines of
civil,mechanical, electrical, And chemical
engineering
Industrializations of ????????????engineering
disciplines of computer engineering
andbioengineering
1750-2000National progress in technology
2000-futureGlobalization of technology
Technologies of steampower, steel, textiles,
railroads, Steamships, chemicals,
telegraph, Telephone, radio, automobiles Airplanes
, etc.
Technologies of IC chipelectronics,
computers, and biotechnology
10
?????????????
????
D
C
d
B
c
????????
????????
b
a-b????? b-c????? c-d?????
A
a
????
11
????????????

• ?????????,?????????????????????
• ??5?,?????????????????????12?????????????????,???
  ??????,???????????,??????????,????????????????

12
?????????????Imitation to Innovation
13
???????

• ??????????,?????????????(???)
• ??,?????????????????????????????????????????????(?
  ??)

14
?????????????????

• (?)????????,???????????????????,??????????????????
  ???????????????????????,??????????????,???????????
  ????
• (?)????????,????????,?????????????????????????????
  ????????????????,???????????????????????,?????????
  ??????????

15
????????????

• ?????????,????????????????????,?????????????????
  ???????,???????????,?????????????????????????????
  ?,?????????????

16
????/????????????
????????????????
????
????
????
???????????
17
Improvement innovation
18
????
Improvement innovation
????
??????
19
????(?????)????(?????????)????(????)????(?????)
20
????????????????
2005???? (??) 2015???? (??) ???
200 300 50
600 700 17
1,200 2,200 83
4,000 3,800 -5
????
20,000??
????????
5,000??
????????
??????
1,500??
??????
????IEK/MIC
21
???????????
Swatch
22
?????????????????

• ????????????
• ???????????????
• ????????????
• ??????????
• ?????????????(FDI)
• ???????,?????????????
• ??????????????????,?????????????????
• ???????????

23
Countries Rankings on Publication at EI Journals
China
3rd
EI????????
?? ?? ?? ?? ?? ??
??? ?? ?? ???
????2004?????????,???????????
24
??????

• ????????
• ????????
• ????????

25
?????????????????

• ??????????,???????????????,??????????,??????,?????
  ????,???????????????
• ?????????,????????????????
• ????????,???????????????

26
??????????????

• ?????????????????,????????????????????????
• ??????????????,???????????????????,???????????????
  ??????????,????????????????????
• ???????????????????????,?????????????,????????????
  ????????

27
?????????????

• ???????????????,
• ???(???FDI)???,
• ??????????????,
• ????????????????

28
??????

• ??FDI???????????
• ???????
• ?????????
• ??????????
• ????????
• ????????????

29
Ten Market Segment in China
30
??

• ????????,?????????,?????????
• ???????????,??????????,?????????????????
• ?????????????????

31
?????

• ????,?????????,???????,??????
• ????,??????????????????,???????,???????????(??????
  ?????)
• ?????,??????????????????

32
???????SWOT??

• S??????????FDI???????????????
• W???????????????????????????????????????????
• O?????????????????
• T????????????????????????????????????????????????
  ??????????????

33
????????????

• ????????????????????,?????????????????????????????
  ???,??????????????,?FDI???????,???????????????????
  ??????????????
• ??????????????????,???????????????????????????????
  ?????

34
Open Innovation?????
????
??? ??
????
????????
????
????
????
????
????
???? ????
????
? ?
? ?
35
??(??)?????--????(proposed by Porter)
36
????????????????

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37
Q 2
38
??????(CD-ROM DVD)???????????
39
(No Transcript)
40
FDI?????????
???
???
??????
???
???
???
???
?????
???????
????
??????????
41
FDI?????????????
???
???
???
???
???
???
42
???????????????
Q 1

• ??????????????
• ??????
• ??????
• ????????
• ??????
• ???????
• ????????
• ?????????
• ??????
• ??????

? ? ? ? ?
43
??2003??,????????????????42???,????1670?,?????????
???
44
?????????

• ???? ???????????????,????????????VC?????,???????
  /??????????????????????????, .
• ?????????,?????????????????,???????????
• ???????????????????,??????????????????
• ?????????????????????????????????????????????????
  ?VC?????????

45
(No Transcript)
46
??????????????
47

• 2004????????

• ??253???????VC??,????12.69???,?2003??28???.
• ?????????,??70????????
• ????24?VC?????????,???4.3???
• ??????VC???????,???8.02???
• ????????IT??,??????????????,?4???
• ?????, ??? ????? (40), ?? (28), ??? (12)
• 21 ?VC ??????(?9?????),??7???
• ?????????? (Zero2IPO) ?????,2004?12?16?

48
??IC????????????

• ???

49
Some brief on Industry Background
Disintegration of IC industry in 1990s
????ITIS(2004/11)
50
Business Models Evolution in IC industry
51
No. 1 in the world (Foundry)
No.2 in the world (fabless) 300 companies 30 of
market share
No. 1 in the world (Assem Testing
52
At Least 3 billions us dollars investment to
construct a 300mm (12 inches size wafer) IC
factory with 25000 pieces per month output
53
IDM Outsourcing is increasing
?? ?? ?? ????
1 Intel USA TSMC
4 TI USA Anam/TSMC/UMC/SMIC/ASMC
6 STM EU TSMC/Chartered
7 Infineon EU UMC/SMIC
9 Motorola USA TSMC/UMC/SMIC
10 Philip EU TSMC/ASMC
????Gartner(2004/07)
54
Foundry Industry Growth in the World Market

• Est 2001 to 2006 average growth rate 28.5

????Dataquest(2005/01)
55
Fabless with higher growth rate
1998-2004 CAGRs Fabless25 WW IC sales9
????IC Insights(2005/03)
56
Greater China will become World Largest Market
in 2005
????IC Insights(2005/03)
57
Number of Fabs in China

• 20012004 ?????????,??8???

???????IEK-ITIS(2004/08)
58
Major players in China
????Digitimes(2005/02)
59
China firms with higher growth rate
TSMC
UMC
SMIC
????Dataquest(2004/06)
60

• Background summary
• Foundry become major player in IC manufacturing
• IDM outsourcing is increasing
• Fabless are major customers to Foundry industry
• Fabless grow much faster than whole IC industry
• Taiwan (TSMC UMC) is leading players but
  China (SMIC,.) catch up very fast

61
????

• ????? IC????????????? ????????

62
Case of Semiconductor International China (SMIC)
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TSMC UMC lead the market, SMIC is the Third

• ????????????,????????
• ??????????????,????????????

????IC Insights(2005/03)
64
ASP of four major players
TSMC
SMIC

• ??????????????????????????????,????????????

???????IEK-ITIS(2004/04)
65
Business Model of SMIC
66
Market Entry Agent(Exchange Market for
Technology, Capacity for Order)
Motorola
Toshiba
China Market
Chartered
SMIC
Infineon
Fujitsu
Elpida
67
SMIC Lag behind TSMC in Advanced Manufacturing
Tech about two Generation Gap
TSMC
SMIC
????????(2004/09)
68
TSMC UMC lead in high end market
????iSuppli(2005/01)
69
Comparison of Revenue and Gross Margin
????iSuppli(2005/03) ??????
70
SMIC lacks of indigenous technology

• Highly depend on (IDM) customers for advanced
  technology presents high business risk to SMIC

????IT IS(2004/09)
71
World Largest Ten Fabless are major customers of
TSMC UMC
????FSA(2005/03)
72
(No Transcript)
73
Strength and Weakness of Chinas IC Industry

• Strength
• Fast growing domestic market
• Strong support from government
• Alliance with IDM
• Imitation from first movers experience
• Low cost production and high quality human
  resource
• Weakness
• Wassenaar Agreement restricts advanced
  technology export to China
• Insufficient of IP law enforcement
• Lack of indigenous Technology and self own IP
• Over capacity on low margin product market

74
Copy Strategy
?? But, you will not win through copy exactly or
low price in IC industry
75

• ?? IC ???????????????????

76
???????????
77
????(?????)?????????

• ??IC??????,???????,????????,???????RCA????7???????
  ??????,??????????????????????????????????IC???????
  ?????,??????????????????????????,?????????????????
  ?????????????????????????????,????????,???????,???
  ?????IC???

78
????(?????)?????????

• ??????????????,?????????,?????????????????????,???
  ?????????????,????????????,??IC???????????????????
  ??,????????????????,??????????????????????????????
  ????,?????????????????????????????????????,???????
  ????,????????,?????????, ??????,???????IC???????

79
????(?????)??????????

• ???IC???????????????,?????????????,??????????????,
  ????????????????????????????????,???????????????,?
  ?????????????????,????????????????????????????????
  ??????????,?????????????????????IC???????????,????
  ?????????????????????????

80
?? ?????????????
81
???????????????????
82
(No Transcript)
83
Technology development position of PRI in Taiwan
IC industry
PRI
PRI
PRI
84
????????
85
?????????????
86
??IC?????????

• ???????????????????????????????????????????????
• ??????????????????????????????????????
• ??IC???????????,??????
• ?????????????????????????????
• ?????????????

87
Strategy of Taiwan IC Industry

• Focus on high end process and advanced
  manufacturing technology
• Adopt Virtual Plant Strategy and become IP
  provider with better service
• Excellent Manufacturing and higher yield rate
• Enter China Market and co-opetition with local
  players
• Promote IC design toward SOC product

88
??????????????????

• ??????????????????????????,??????????IC??????????
  ???,???????????,?????????,?????????????,??????????
  ???????????????????????????????????,??????????????
  ?????????,??IC?????????????,????????IC????????????

89
????

• ??????????IC????????????? ????????????

???? ????????
90
????Intel ??????????
91
???(Intel)?????

• ???(Intel)??????1968???????,?????Gordon Moore,
  Robert Noyce, ??Andrew Grove?????????(Fairchild
  Semiconductor)???????????????????????,????Fairchil
  d?????????,??????????,??Intel?????
• 2001??Intel,??????265???,???????83000???,????????2
  100?????????????,????????????,????????????????????
  ?????

92
???????????(before 1980s)

• Fast follower strategy
• Incremental innovation strategy

93
???????????after 1980s

• ????????,????????????
• ????????
• ????????????
• From Intel Inside to Think Intel Everywhere

94
????????????
????
????
???????
95
????????

• Intel????????????????????,????????????????????????
  ??? (U.C. Berkeley, U. of Washington, and
  Carnegie Mellon U.),????????(lablet),?????????????
  ?????????????????????????????,?????????????,??????
  ?????????????????,???????????????????
• ?2000?,Intel??300??????????????,??????????????????
  ????????????????,?????????????????????,???????11??
  ???????
• Intel??????????????????????,??Intel???????????????
  ?,????????????,?????Intel?????????????Intel???????
  ???????????Intel???????????????????????,??????????
  ?????

96
??????????

• Intel Capital??????????????????????,??????????????
  ?????,?????????????????????(strategic
  goal),??????????????????????(financial
  goal)????????
• Intel Capital????Leslie L. Vadasz,???????????????,
  ???????????,?????????????Intel Capital????????????
  ?????????

97
?????????????????

• Emphasize on indigenous technology development
  with more RD spending
• Reach out from domestic market to global market
• Build up a few world class conglomerates (such as
  Samsung) to lead the development of high tech
  industry
• Government should play more aggressive role on
  RD, use PRI capability and design favorable
  policies to nurture more high tech SMEs
• Strengthen financial market efficiency and
  increase venture capital capability
• Enhance business operations efficiency and global
  logistic technologies to strengthen world factory
  position
• Industrial innovation should put more effort on
  software technology, key component technology,
  system integration technology,
• Develop China spec. with self own intellectual
  property

98
????IC?????????

• ????????FDI,??????????????
• ???????????????IDM?????????????????,??????????????
  ??????????????????????
• ?????????????,??????????????????

99
???????

• ??????????,??????????,??????,????????????
• ????????,??????????,???????????
• ??????,????????,??????????????
• ????????,?????????
• ??????,?????????????
• ???????????
• ????????,??????
• ????????,????????,????????????

100
??IC????????
Mainland
Taiwan
101

?? ??
QA
102
Thank You!