At a discussion at the Design Con2010 Symposium in California, industry representatives expressed their views on the evolution and impact of IC outsourcing production models. The consensus was that semiconductor manufacturers would outsource wafer design, packaging and manufacturing, and even Part of the business operations are outdated in order to reduce costs and focus resources on expertise, and must adopt strategies.
But outsourcing also means the shift of the industry value chain, including job opportunities. These industry representatives are asked about the impact of outsourcing on the US unemployment rate and the local semiconductor industry continues to be hollowed out. At the time of the question, a senior manufacturer gave a very powerful but honest answer: "Life is cruel, we must adapt." He is the founder, chairman and chief technology officer of the chip manufacturer 3Leeasts Bob Quinn.
Quinn said that the reason why semiconductor manufacturers outsource more and more business functions to third-party operators in Asia and other places is obvious: "This is a work that has to be done; today, you are at your disposal, the world It is changing, and the world is cruel."
Since the 1970s, the semiconductor industry (the United States) has ignited a wave of outsourcing work. At that time, it was mainly based on wafer packaging and testing; then in the 1980s, manufacturers began to transfer IC production to wafer foundries to the 1990s. Even the semiconductor IP and front-end design business is also outsourcing.
According to John Koeter, vice president of marketing for EDS supplier Synopsys' Solutions Group, 25 to 30% of the chip companies' IP addresses are from third-party companies. At least 17 of the world's top 20 IC companies are Some form of purchasing IP from outside.

The outsourcing trend may further penetrate other operations of the company, such as outsourcing accounting, human resources, and quality assurance; "even the largest chip makers are looking for the possibility of outsourcing their operations." TSMC North America Brad Paulsen, vice president of corporate management at the branch office (Taiwan Semiconductor Manufacturing Co. Ltd.'s North American) said.
Although there is still a slight difference between outsourcing and off-sporting, in the United States, many manufacturers in the industry have already moved their work overseas; for example, the blue giant IBM, The company has laid off a large number of employees in the United States, but at the same time recruited in other parts of India and other areas, causing many employees.
Other multinationals have similar situations; although there are reports that some American companies have begun to return jobs from overseas to the United States because of the economic recovery, there is no actual evidence to support this. Kalar Rajendiran, senior marketing director of fabless ASIC supplier eSilicon, said that many multinational companies are facing globalization issues, and these companies are shifting more resources to Asia, mainly to: "closer to customers."
"The era of vertically integrated business models has passed," 3Leaf's Quinn said. "You can outsource everything, and even creative ideas can be outsourced." Of course, 3Leaf, a fabless company, still has core expertise. ─ IC design - stay in your own home.
The president and chief executive of Neterion, a storage solutions provider, added that a key prerequisite for companies to outsource their various businesses is to find good partners who can provide the highest level of service. Undoubtedly, for enterprise employees, business outsourcing will be a painful adaptation process: "This is a big event. Without personal experience, you can't understand the pain of outsourcing."

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