Taiwan Semiconductor Manufacturing Company (TSMC), the world's largest dedicated independent semiconductor foundry, recently confirmed it has run into new issues with their 40nm process technology that have sent yield rates down to 40%. Major customers for TSMC's 40nm processes include AMD, which just released its Radeon HD 5000 series, and Nvidia, who is expected to launch the GT300 series in December.

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Tell me about it! I ordered two of these video cards for customers almost 2 weeks ago and I'm still waiting. I hope they can still provide some while they fix their yield problem, I can't make my customers wait until december.

this means that we might not see any price cuts anytime soon. they might even get more expensive during the winter holidays when many will buy new computers.

Mm... this are larming news , lower prices are not guaranteed , all of this is on hold , well at least TSMC noticed this , thats good at least

I wonder, why doesn't AMD use it's GlobalFoundries for manufacturing?

1. They have a better yield and at a lower nm process.
2. It's probably cheaper since it's kind of theirs?

Are the GPU's design based off a 40nm die size and cannot be set up for the 32nm process? This is really a big blow to all involved, supply and demand will drive the prices up until the backlog gets fixed. Just like memory prices going up.

Actually, I've read that prices are being increased by 20$ because of this... So no, no price cuts... :)

It's cheaper to outsource the manufacturing, since labour costs at their current fab in Germany are likely astronomical compared to TSMC. That and the fact that TSMC is prepped for high-volume manufacturing is probably why GlobalFoundries isn't in the mix yet.

I think in the near future it is better to stick to the 4800 series, they're cheaper, they're performance is top notch, they're reliable, Directx 11 isn't going to be a big issue maybe until Q2 2010, and hey? who has 3 monitors now for eyefinity??

I just ordered 2 4830's and I already have 1, so I'll try Tri-fire... that should be enough performance at least for the next two ATi generations...

I hope they really fix the yields and thoroughly test all the cards before they ship them out. I do not want to get a card and than have to return it doe to lack of "testing".

mmh, looks like both amd and nvidia may get affected by this.

Bad cards are never due to chip manufacturing defects, but rather due to improper manufacturing of the card itself. Defects in the PCB (bad soldering, broken tracks etc.) or cooling system (among others) usually manifest as a failed card.

TSMC, UMC and other fabs extensively test all their silicon before sending them out to manufacturers; after all, their reputation is at stake. A single improperly-fabricated wafer can have dire implications.

It is another matter if there is a flaw in the chip design itself...

so thats why... I was wondering when I tried to buy the 5770 why it out out of stock everywhere :/ and I think you're right it's to convenient when amd finally was a awesome card's out at good competetive prices that suddenly 40 mm nand yeilds sink to the bottom

Awww and I was hoping there would be a nice price drop in the DX11 cards soon...guess I'll have to wait a while longer.

So, if Nvidia is getting about 3% yeilds on their GT300 and TSMC is getting 40%, then does it mean Nvidia will be seeing 1.2% yeilds? I sure hope not, because I'm waiting to upgrade my GPU to a Fermi card!

@wagan8r: Where did you see the 3% yield rates? That seems quite low, even for a new technology.

@abautu: I saw mention of the 3% yield rates. I think it was mentioned somewhere in Techspot.

Can't use GlobalFoundries because:

Bulk silicon production isn't ramped yet (AMD is SOI)
40nm process isn't ready yet
Exculsivity contracts with TSMC, even if GF could make them

Don't expect GF to produce ATI products until 28nm

Besides, wouldn't GlobalFoundries be busy for awhile cranking out new CPU chips for their revamped models as described here?: http://www.techspot.com/vb/topic137182.html

That's a pity. I'm also looking to buy a new Radeon, and was hoping that prices will drop a little over the next month or two.

It seems to me though like NVIDIA will suffer more from this, since its chip is larger, which means it will have more errors and lower yields.