[Correction] Epistar to Invest in TSMC Solid State Lighting

News Source: 
China Times

Leading Taiwanese LED chip manufacturer Epistar is planning another merger to complete its white LED portfolio, according to a Chinese-language report by China Times.

Market rumors over the last two weeks have noted Epistar will be investing in TSMC wholly owned subsidiary TSMC Solid State Lighting, but the two Taiwanese companies have not responded to these market rumors.

TSMC Solid State Lighting (SSL) was founded in August 2011, with a registered investment capital of NT $11 billion (US $350 million). In reality, the company’s capital is about half of the above figure at NT $6.01 billion. Industry insiders often view the company using its strong background in semiconductors to make high-end LED chips. The manufacturer features production of flip chip LEDs and has 2 MOCVDs.

TSMC Chairman Morris Chang even announced TSMC SSL will be the company’s major trump card in the future at a company sports event in 2013. As the LED lighting industry sinks further into price wars, TSMC SSL LED chips have fallen behind in performance and pricing. TSMC SSL partners have described its products as having “low cost/performance ratio.”

The group's SSL arm's former President Jacob Tarn left in February, and there was a turnover in other management positions. There were even market rumors that TSMC SSL undergoing cost down, and some estimated AOT would take over. Recent market rumors among downstream LED manufacturers, though, point to Epistar as the possible investment candidate in the ailing TSMC SSL.

TSMC has few MOCVDs, but it has many white LED patents, and has signed patent licenses with U.S. manufacturers.

Yet, TSMC SSL stocks have relatively high value. The company might sell its LED package equipment first. There were also market rumors that AOT might restructure company assets, and even lower company share value to NT $1 billion. After clearing company shares, the two companies can invest again, which will limit Epistar’s investments. Still, it would be equivalent to TSMC accepting losses in LED lighting, and further observations are required to determine high ranking officials perspective on LED lighting.

(Editor's Note: Due to inaccurate information within the original Chinese text, the article was edited on Dec. 30, 2014.)

Disclaimers of Warranties
1. The website does not warrant the following:
1.1 The services from the website meets your requirement;
1.2 The accuracy, completeness, or timeliness of the service;
1.3 The accuracy, reliability of conclusions drawn from using the service;
1.4 The accuracy, completeness, or timeliness, or security of any information that you download from the website
2. The services provided by the website is intended for your reference only. The website shall be not be responsible for investment decisions, damages, or other losses resulting from use of the website or the information contained therein<
Proprietary Rights
You may not reproduce, modify, create derivative works from, display, perform, publish, distribute, disseminate, broadcast or circulate to any third party, any materials contained on the services without the express prior written consent of the website or its legal owner.

TSLC Corporation, a subsidiary of SemiLEDs, launched sampling of its tri-color Mini LED series, targeted to provide LED display manufacturers with surface-mounting (SMT) compatible devices. The first product in the tri-color multi pixel series... READ MORE

The German chemistry giant BASF has revealed its development of dark automotive paint colors that are reflective to LiDAR for enhancing the detecting function of autonomous cars. LiDAR plays a critical role to the development of autonomous veh... READ MORE