TSMC's capital expenditure to outpace Intel's -

Pure play foundry TSMC (Taiwan Semiconductor Manufacturing Co) is set to outpace Intel's spend on capital expenditure this year.

Morris Chang, CEO and chairman of TSMC, said that its plans for 2010 are likely to exceed the $4.8 billion it recently planned. The Taiwan Economic News estimates that the amount could be as much as $5.3 billion.

TSMC is frantically engaged in attempting to increase capacity following the recovery of the semiconductor industry from its dire state a year ago.

At the International Electronic Forum in Dresden earlier this year, the chief technology officer of TSMC, Jack Sun, told TechEye that there will be 22 percent growth globally in the IC business this year.

TSMC is building megafabs that it believes will meet its current capacity constraints, given the tightness of supply the industry is experiencing.

The company wants to create a buffer with 10-15 percent more capacity than is needed, according to the Taiwan Economic News, here.