台積電 ADR (TSM) 2011 Q4 法說會逐字稿

Ladies and gentlemen, thank you for standing by and welcome to TSMC's 4Q '11 results webcast conference call. This conference call is being webcast live via the TSMC website at www.tsmc.com and only in audio mode. Your dial-in lines are also in listen-only mode. I would now like to turn the conference over to Dr. Elizabeth Sun, TSMC's Head of Investor Relations. Thank you, please go ahead Dr. Sun.

女士們、先生們，謝謝大家的收看，歡迎參加台積電 2011 年第四季業績網直播電話會議。本次電話會議透過台積電網站 www.tsmc.com 進行網路直播，且僅提供音訊模式。您的撥入線路也處於只聽模式。現在我想將會議交給博士。台積電投資者關係主管孫文儀。謝謝您，請繼續，博士。太陽。

Thank you. Good morning and good evening, everyone. Welcome to TSMC's fourth-quarter 2011 conference call. Joining us on the call are Dr. Morris Chang, our Chairman and Chief Executive Officer and Miss. Lora Ho, our Senior Vice President and Chief Financial Officer and Dr. C. C. Wei, TSMC's Senior Vice President of Business Development.

謝謝。大家早安，晚上好。歡迎參加台積電2011年第四季電話會議。與我們一起參加電話會議的還有 Dr.我們的董事長兼執行長張忠謀女士和我們的高級副總裁兼財務長 Lora Ho 和博士。C.C.魏則仕，台積電業務發展資深副總裁。

The format for today's conference call will be as follows. First, Lora will summarize our operations in the fourth quarter and give you our guidance for the next quarter. Afterwards, TSMC's Chairman, Dr. Chang, will provide his general remarks on the business outlook and a couple of key questions -- key messages. Then we will open the floor to questions. For those participants who do not yet have a copy of the press release, you may download it from TSMC's website at www.tsmc.com. Please also download the summary slides in relation to today's quarterly review presentation.

今天的電話會議形式如下。首先，Lora 將總結我們第四季的營運情況，並為大家提供下一季的指導。隨後，台積電董事長兼執行長李彥宏博士發表致詞。張先生將就商業前景發表總體評論並提出幾個關鍵問題——關鍵訊息。然後我們將開始回答問題。對於尚未收到新聞稿的參與者，可以從台積電網站 www.tsmc.com 下載。請同時下載與今天的季度審查報告相關的摘要投影片。

I would like to remind all listeners that the following discussions may contain forward-looking statements that subject to significant risks and uncertainties which could cause actual results to differ materially from those contained in the forward-looking statements.

我想提醒所有聽眾，以下討論可能包含前瞻性陳述，這些陳述受重大風險和不確定性的影響，可能導致實際結果與前瞻性陳述中的結果有重大差異。

Information as to those factors that could cause actual results to differ materially from TSMC's forward-looking statements may be found in TSMC's annual report on Form 20-F, filed with the United States Securities and Exchange Commission on April 15, 2011, and such other documents as TSMC may file with or submit to the SEC from time to time. Except as required by law, we undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise. And now I would like to turn the call over to Lora.

有關可能導致實際結果與台積電前瞻性陳述存在重大差異的因素的信息，可在台積電 2011 年 4 月 15 日向美國證券交易委員會提交的 20-F 表年度報告以及台積電不時向美國證券交易委員會提交的其他文件中找到。除法律要求外，我們不承擔更新任何前瞻性聲明的義務，無論是由於新資訊、未來事件或其他原因。現在我想將電話轉給 Lora。

Thanks, Elizabeth. Good morning and good evening to everyone. Welcome to our 2011 fourth-quarter earnings conference call. Before I start I want to send my best wishes for Year of the Dragon, as it is only a few days before the Chinese Lunar New Year.

謝謝，伊麗莎白。大家早安，晚上好。歡迎參加我們的2011年第四季財報電話會議。首先，我想向大家送上我對龍年的良好祝愿，因為距離中國農曆新年只有幾天了。

During today's call I will start with the financial highlights from the fourth quarter, followed by a recap of 2011. Then we will move on to the outlook for the first-quarter 2012. All dollars' figure are in NT dollars, unless otherwise stated.

在今天的電話會議上，我將首先介紹第四季度的財務亮點，然後回顧 2011 年的情況。然後我們來談談2012年第一季的展望。除非另有說明，所有美元數字均為新台幣。

Our fourth-quarter revenue decreased 1.7% sequentially to TWD104.7b. In US dollar terms the revenue decreased 5.4% compared with the third quarter. Our Wafer shipment decreased 8% to 2.9m 8-inch equivalent Wafers in this quarter, since customers' inventory adjustment continued to affect TSMC's Wafer demand.

我們第四季的營收季減1.7%至1,047億新台幣。以美元計算，營收與第三季相比下降了 5.4%。由於客戶庫存調整持續影響台積電的晶圓需求，本季我們的晶圓出貨量下降 8% 至 290 萬片 8 吋當量晶圓。

By applications, computer-, consumer- and industrial-related revenue were more affected, and decreased by 13%, 10% and 14% respectively. [Our area] communication increased by 6%, thanks to the demand for smartphones. Overall, communication accounted for 53% of our total Wafer sales in this quarter, while computer, consumer and industrial accounted for 20%, 9% and 18% of our Wafer sales respectively.

從應用領域來看，電腦、消費和工業相關收入受到的影響較大，分別下降了13%、10%和14%。由於智慧型手機的需求，[我們地區]的通訊量增加了 6%。整體來看，本季通訊領域占我們晶圓銷售額的53%，而電腦、消費和工業領域分別占我們晶圓銷售額的20%、9%和18%。

By technology, contribution from 28-nanometer process technology already represented 2% of the total Wafer sales. We believe 28-nanometer contribution will be more than 10% in the second half of 2012, also for the whole year. 40-nanometer contribution remained at 27% in the fourth quarter, while 65 nanometer increased [three] percentage points to 30% of total Wafer sales. Combined contribution from 65 nanometer and below represented 59% of total Wafer sales in this quarter, which is five percentage points higher than the previous quarter.

從技術層面來看，28奈米製程技術的貢獻已占到晶圓總銷售額的2%。我們相信2012年下半年乃至全年28納米的貢獻都將超過10%。第四季度，40奈米晶圓銷售額的貢獻率仍為27%，而65奈米晶圓銷售額的貢獻率則增加了[3]個百分點，達到30%。65奈米及以下製程的綜合貢獻佔本季晶圓總銷售額的59%，較上一季高出5個百分點。

Gross margin was 44.7%, up 2.7 percentage points from third quarter, mainly attributed to a favorable exchange rate and a higher utilization rate. Operating margin was 31.4%, up 1.7 percentage points. Operating expenses increased 5% from the previous quarter, mainly due to higher opening expense for Fab-15 in Taichung.

毛利率為44.7%，較第三季上升2.7個百分點，主要得益於有利的匯率和更高的利用率。營業利益率為31.4%，上升1.7個百分點。營業費用較上一季增加5%，主要由於台中Fab-15工廠的開業費用較高。

Overall our fourth-quarter net margin arrived at 30.2%, EPS was TWD1.22. During this quarter we further reduced our inventory level by two days, to 43 days, and we believe this inventory level is healthy. Cash flow from operations totaled TWD73b, up TWD18b from third quarter, primarily due to higher other operating sources. Also, our capital expenditure decreased by TWD8b in the quarter.

整體而言，我們第四季的淨利率達到30.2%，每股收益為1.22新台幣。本季度，我們進一步將庫存水準降低了兩天，至 43 天，我們認為這個庫存水準是健康的。經營活動現金流總計730億新台幣，較第三季增加180億新台幣，主要由於其他經營來源的增加。此外，本季我們的資本支出減少了80億新台幣。

These two factors helped us -- helped our free cash flow increase from TWD17b to TWD43b during the fourth quarter. Overall, our cash and short-term investments increased TWD30b to TWD151b. Our capital expenditure was $1b in the fourth quarter. Total capital expenditure for the whole year was $7.3b.

這兩個因素幫助了我們——幫助我們的自由現金流在第四季度從170億新台幣增加到430億新台幣。整體而言，我們的現金和短期投資增加了300億新台幣，達到1,510億新台幣。我們第四季的資本支出為 10 億美元。全年總資本支出為73億美元。

Our total capacity slightly declined in the fourth quarter as a result of capacity conversion in 12-inch Fabs and annual maintenance in certain 8-inch Fabs. Full-year total capacity increased by 17% year over year, to 13.2m 8-inch equivalent Wafers, while 12-inch Wafer capacity increased by 29%. We expect our total capacity to increase by 5% sequentially, to 3.6m 8-inch equivalent Wafers in first-quarter '0 -- 2012, mainly due to an increase in 28-nanometer capacity.

由於12吋晶圓廠的產能轉換和部分8吋晶圓廠的年度維護，我們的總產能在第四季略有下降。全年總產能年增17%，達到1,320萬片8吋當量晶圓，12吋晶圓產能較去年同期成長29%。我們預計2012年第一季我們的總產能將比上一季增加5%，達到360萬片8吋當量晶圓，主要得益於28奈米產能的增加。

Next, let me give you a recap of our performance in 2011. 2011 revenue was TWD427b. Gross margin was 45.4%, operating margin 33.1% and the EPS was TWD5.18. 2011 was a challenging year for the Semiconductor industry. Despite a difficult macro environment TSMC still achieved top-line growth. In US dollar terms our revenue increased 9% year over year, to $14.5b in 2011.

接下來，我來跟大家回顧一下2011年我們的表現。2011年營收為4,270億新台幣。毛利率為45.4%，營業利益率為33.1%，每股盈餘為5.18元新台幣。2011 年對半導體產業來說是充滿挑戰的一年。儘管宏觀環境艱難，台積電仍實現了營收成長。以美元計算，2011年我們的營收年增9%，達到145億美元。

Continually outperforming the Foundry industry regarding profitability despite rising depreciation, R&D expense and unfavorable exchange rate, we still maintained gross margin at above 45% and achieved our long-term financial target of an above-20% ROE. Supported by solid financial performance we are committed to invest in R&D for future growth and strive for long-term shareholder value.

在折舊、研發費用上升及匯率不利的情況下，我們的盈利能力繼續優於晶圓代工行業，仍然保持毛利率在45%以上，並實現了ROE在20%以上的長期財務目標。在穩健的財務表現的支持下，我們致力於投資研發以實現未來成長並努力實現長期股東價值。

Now let's turn to the outlook for the first-quarter 2012. Based on the current business expectation and a forecast exchange rate of TWD30.25, we expect our consolidated revenue in the first quarter to come in between TWD103b and TWD105b. In terms of margin we expect our first-quarter gross margin to be between 42.5% and 44.5%, operating margin to be between 28.5% and 30.5%.

現在讓我們來看看2012年第一季的展望。根據目前的業務預期及預測匯率30.25新台幣，我們預期第一季的綜合營收將在1,030億至1,050億新台幣之間。就利潤率而言，我們預計第一季毛利率在 42.5% 至 44.5% 之間，營業利潤率在 28.5% 至 30.5% 之間。

Our first-quarter revenue outlook is similar to revenue in the previous quarter, but the profit margin is slightly lower. The main reason is that our 28-nanometer Wafer sales contribution will increase rapidly to around 5% in the first quarter, from 2% in fourth-quarter 2011. As margins of any process technology are typically lower than corporate average at the initial stage of volume production, this increase in 28-nanometer contribution will have some temporary negative impact on our margin.

我們對第一季的營收預期與上一季的營收類似，但利潤率略低。主要原因是我們的28奈米晶圓銷售貢獻將從2011年第四季的2%快速上升至第一季的5%左右。由於任何製程技術的利潤率在量產初期通常都低於企業平均水平，因此 28 奈米貢獻的增加將對我們的利潤率產生一些暫時的負面影響。

This concludes my remarks today. Now I would like to turn the call to -- over to Dr. Morris Chang, our Chairman and CEO, for his remarks.

我今天的發言就到此結束。現在我想將電話轉給博士。我們董事長兼執行長張忠謀先生的致詞。

Hi, everyone. First, I'd like to look at 2011 in retrospect. In 2011 the world's Semiconductor growth was close to zero. The world's Foundry industry growth was 4%. TSMC growth was 9%. All these figures were in US dollars. The TMSC growth was mainly driven by the strength of 40- and 45- nanometer node and the emergence of the 28-nanometer node. The revenues from our advanced technology, that is, 65 nanometer and below, grew from 46% of total Wafer revenue in 2010 to 55% in 2011.

大家好。首先，我想回顧一下2011年。2011年全球半導體成長接近零。全球晶圓代工產業成長率為4%。台積電成長9%。所有這些數字都是以美元計算的。TMSC 的成長主要受到 40 和 45 奈米節點的推動，以及 28 奈米節點的出現。我們來自先進技術（即65奈米及以下技術）的收入佔晶圓總收入的比例從2010年的46%成長到2011年的55%。

Now a few words on supply chain inventory. The supply chain inventory has been working down throughout the second half of 2011. We expect that the supply chain's DOI in aggregate is about seven days below seasonal at the end of 4Q '11 and will continue to be below seasonal throughout 1Q '12.

現在就供應鏈庫存談幾句。2011年下半年，供應鏈庫存一直在下降。我們預計，截至 2011 年第四季末，供應鏈的整體 DOI 將比季節性低約七天，並且在整個 2012 年第一季度，這一狀況將繼續低於季節性。

Next, I'd like to say a few words about this year, 2012's, Semiconductor and Foundry outlook. The outlook for 2012's economic condition is for world GDP to grow at 2.4%; that's our estimate. It's higher than some and lower than others. We expect the world's Semiconductor market to grow at about 2%. In the Semiconductor market, mobile products will enjoy particularly strong growth.

接下來我想談談今年，也就是2012年的半導體和晶圓代工展望。2012年經濟狀況展望：世界GDP成長2.4%；這是我們的估計。它比一些高，也比其他低。我們預期全球半導體市場將成長2%左右。在半導體市場，行動產品將實現尤為強勁的成長。

TSMC is well positioned in the mobile product market with the right technology and we have the manufacturing capacity. We should perform better than the overall Semiconductor and Foundry industry this year. I have asked C. C. Wei, Senior VP of Business Development, to give a special presentation on TSMC's positioning in the mobile products today. He will speak after me.

台積電憑藉正確的技術在行動產品市場上佔據有利地位，並且我們擁有製造能力。今年我們的表現應該會比整體半導體和晶圓代工產業更好。我問過C。C.今天，台積電業務發展資深副總魏哲家將就台積電在行動產品的定位作特別介紹。他將在我之後發言。

TSMC's Q1 revenue is about flat from last year's Q4, but stronger than seasonal. According to our current booking forecast our second-quarter revenue will be stronger than first quarter.

台積電第一季的營收與去年第四季基本持平，但強於季度營收。根據我們目前的預訂預測，我們第二季的營收將高於第一季。

On our capital expenditures, in order to leverage our leadership position in 28 nanometer and to expand our development work in 20 nanometer and beyond, we expect to spend about $6b in capital expenditure. About 80% of the spending is for tools, buildings and facilities for 28-nanometer and 20-nanometer nodes and 12% of the total spending is for R&D.

在我們的資本支出方面，為了利用我們在 28 奈米領域的領導地位，並擴大我們在 20 奈米及更高領域的開發工作，我們預計將花費約 60 億美元的資本支出。約 80% 的支出用於 28 奈米和 20 奈米節點的工具、建築和設施，總支出的 12% 用於研發。

I will say a few words on the status of our 28-nanometer ramp. Our 28 nanometer entered volume production last year and contributed at 2% of 4Q '11's Wafer revenues. Defect density and new progress is ahead of schedule and is better than 40 nanometer, 45 nanometer at the corresponding stage of the ramp up. We expect 28-nanometer ramp this year to be fast and we expect 28 nanometer will contribute more than 10% of total Wafer revenue this year.

我將簡單介紹一下我們 28 奈米製程的進展。我們的 28 奈米技術去年投入量產，並為 2011 年第四季的晶圓收入貢獻了 2%。缺陷密度及新製程進展均提前完成並優於40奈米、45奈米對應階段的量產。我們預計今年 28 奈米技術將快速發展，並且預計今年 28 奈米技術將貢獻晶圓總收入的 10% 以上。

Our tape-outs on the 28 nanometer; we have so far completed 36 individual tape-outs and have scheduled another 132 individual product tape-outs in 2012. While the three versions of the 28-nanometer technology, the LP, the HP and the HPL, have entered volume production, the fourth version, the HPM, has entered risk production this quarter and is expected to begin volume production in the second half of this year.

我們在 28 奈米方面的流片；我們迄今已完成 36 個獨立流片，併計劃在 2012 年再完成 132 個獨立產品流片。目前28奈米技術的三個版本LP、HP和HPL都已進入量產，而第四個版本HPM已於本季進入風險生產，預計今年下半年開始量產。

Now I will give you a report on some technology development, first, on 20 nanometers and beyond. Our 20-nanometer development is on track to start risk production at the end of this year. We combine our high-performance planar transistors with system integration, such as CoWoS and our ecosystems partners.

現在我向大家報告一些技術發展情況，首先是20奈米及以下技術的發展。我們的20奈米開發進展順利，預計今年底開始風險生產。我們將高性能平面電晶體與系統整合相結合，例如 CoWoS 和我們的生態系統合作夥伴。

We think that with the combination of those three, the high-performance planar transistor, the high-density system integration, such as CoWoS -- that stands for Chip on Wafer on Substrates, by the way -- and our ecosystems partners, such as ARM and other EVAs, TSMC's 20-nanometer technology will be most competitive in the marketplace. For FinFET, TSMC will offer second-generation FinFET transistors at 14-nanometer node with risk productions in 2014. The feasibility has been proven. We are in the process of integrating it into the technology platform.

我們認為，透過這三者的結合，即高性能平面晶體管、高密度系統整合（例如 CoWoS，順便說一下，它代表晶圓上的晶片和基板上的晶片）以及我們的生態系統合作夥伴（例如 ARM 和其他 EVA），台積電的 20 奈米技術將在市場上最具競爭力。對於FinFET，台積電將在2014年提供14奈米節點的第二代FinFET電晶體，並進行風險生產。其可行性已被證實。我們正在將其整合到技術平台中。

To solidify and enhance our R&D efforts we have invested a few hundred million dollars of additional equipment and put in hundreds of engineers to start up an R&D process center in order to deliver the 20-nanometer and 40-nanometer prototypes with a quick cycle time.

為了鞏固和加強我們的研發力度，我們投資了數億美元的額外設備，並派遣了數百名工程師來啟動研發流程中心，以便快速交付 20 奈米和 40 奈米原型。

I want to say a few words on high voltage. The fast growth of mobile computing devices has fueled a growth of demand for high-voltage HV technology. The HV technology is needed for power management IC and for display drivers. The mobile computing devices require a smaller footprint, higher efficiency, with predictable yield and large capacity to support. TSMC's strength of integrating logic and HV fits well in this trend. For power management IC, TSMC's 0.25-micron BCD is in volume production and customers are designing into our 0.18-micron BCD while 0.13-micron BCD is under development.

我想就高壓講幾句。行動運算設備的快速成長推動了對高壓HV技術的需求成長。電源管理IC和顯示驅動器都需要高壓技術。行動運算設備需要佔用空間更小、效率更高、產量可預測且支援容量更大。台積電在整合邏輯和高壓方面的實力非常契合這一趨勢。對於電源管理IC，台積電的0.25微米BCD已投入量產，客戶正在設計我們的0.18微米BCD，而0.13微米BCD正在開發中。

For display driver the requirements include high resolution, thinner frame to narrow the edge and faster data rate to refresh the screen. TSMC's 110-nanometer HV and 80-nanometer HV fit well in this trend with the smallest design [rules] and the largest capacity for the market. We plan to offer 55-nanometer HV next year to further extend our leadership.

對於顯示驅動器的要求包括高解析度、更薄的框架以縮小邊緣和更快的資料速率以刷新螢幕。台積電的110奈米HV和80奈米HV非常符合這一趨勢，具有最小的設計[規則]和最大的市場容量。我們計劃明年提供55奈米HV，以進一步擴大我們的領先地位。

Next, Chip and Wafer on Substrates, CoWoS. TSMC offers a robust CoWoS solution to enable future advanced products featuring lower power and consumption. The solution integrates advanced silicon technology and interposer technology. We expect CoWoS to start at 28 nanometer and become significant at 20 nanometer and below.

接下來是基板上的晶片和晶圓（CoWoS）。台積電提供強大的 CoWoS 解決方案，以實現未來更低功耗和更低功耗的先進產品。該解決方案整合了先進的矽技術和中介層技術。我們預計 CoWoS 將從 28 奈米開始，並在 20 奈米及以下達到顯著水平。

We've been collaborating with customers to develop CoWoS products for qualification in 2012 and initial production in 2013. That would be the 28-nanometer version. The CoWoS ecosystem includes memory manufacturers and [OSET] partners. Initial applications will be in the areas of high-end GPU, FPGA and networking.

我們一直與客戶合作開發 CoWoS 產品，預計 2012 年獲得認證並於 2013 年開始生產。那將是28奈米版本。CoWoS 生態系統包括記憶體製造商和 [OSET] 合作夥伴。最初的應用將在高階 GPU、FPGA 和網路領域。

And now a few words on the status of our Solar and Solid-State Lighting systems. This year we have seen very quick price drops in both Solar and Solid-State Lighting. In this environment we are proceeding cautiously and, hopefully, prudently. We are spending a somewhat longer time in getting the technology to an even higher performance than we originally planned before we switch to production. We are still focusing most of our efforts on development and that will last well into 2012 -- our development will last well into 2012, although we do expect modest revenue in 2012 for both Solar and Solid-State Lighting.

現在讓我們來簡單介紹一下我們的太陽能和固態照明系統的現況。今年我們看到太陽能和固態照明的價格都迅速下降。在這種環境下，我們行事謹慎，並希望是審慎。我們花了比最初投入生產之前計劃的更長的時間來使該技術達到更高的性能。我們仍將大部分精力集中在開發上，這種狀況將持續到 2012 年 - 儘管我們預計 2012 年太陽能和固態照明的收入都會比較適中。

Our goal in Solar is to produce high-quality Solar Modules at competitive cost and we have started to move in tools into our new Solar Fab in Taichung. And recently we are able to demonstrate a circuit efficiency of 17.12% on a 30-by-30 centimeter cell. To the best of our knowledge the highest efficiency that has been achieved anywhere is 17.2% for a cell of a similar size. And, as I said, we achieved 17.12%, very close to the highest efficiency that has been achieved anywhere.

我們在太陽能領域的目標是以有競爭力的成本生產高品質的太陽能模組，我們已經開始將工具搬進位於台中的新太陽能工廠。最近，我們在 30 公分 x 30 公分的電池上實現了 17.12% 的電路效率。據我們所知，在任何地方實現的最高效率都是相似尺寸的電池的 17.2%。正如我所說，我們達到了 17.12%，非常接近迄今為止的最高效率。

And in Solid-State Lighting our goal is to produce emittance at a stable, high-quality level. We are making good progress in developing our technology and converting it from R&D to pilot production. We are now approaching the 120-lumens per-watt level, also bringing this new activity in the top bracket of technical performance.

在固態照明中我們的目標是產生穩定、高品質的輻射。我們在開發技術並將其從研發轉化為試生產方面取得了良好的進展。我們現在已經接近每瓦 120 流明的水平，也將這項新活動帶入了技術性能的最高水平。

Now I would like to turn the talk over to C. C. Wei -- Dr. C. C. Wei, TSMC's Senior VP for Business Development and he will talk about mobile computer products. C. C.?

現在我想把話題交給 C。C.魏--博士C.C.台積電業務發展資深副總裁魏大勳將談論行動電腦產品。C.C.？

Thank you, sir. Good day, everybody. Let me start with the two most important products in the mobile computing business, that is, the smartphone and tablet. In year 2003 to year 2011 smartphones grow from 10m units to 456m units. Year 2011 is also the first year that smartphone outnumbers PCs. Looking forward for the next five years the growth will likely continue with 21% CAGR and reaches about 1b units probably in the year 2015, but no later than 2016.

謝謝您，先生。大家好。我先從行動運算業務中最重要的兩個產品開始，也就是智慧型手機和平板電腦。從2003年到2011年，智慧型手機數量從1,000萬支增加到4.56億支。2011年也是智慧型手機數量首次超越PC的一年。展望未來五年，成長可能仍將以 21% 的複合年增長率持續，並可能在 2015 年達到約 10 億台，但不會晚於 2016 年。

In addition to smartphone, the tablets grew from 18m units in year 2010 to 50m units in last year. We also expect that a greater-than 30% CAGR for the next five years for tablets. So both smartphone and tablets are expected to have very strong growth in the future.

除智慧型手機外，平板電腦的銷售量也從2010年的1,800萬台成長至去年的5,000萬台。我們也預計未來五年平板電腦的複合年增長率將超過 30%。因此，預計未來智慧型手機和平板電腦都將實現強勁成長。

Equally important is the mobile data traffic. According to Cisco's estimate the number of mobile data traffic by smartphones and tablets almost double every year, from about 91 terabyte per month in year 2009 to 546 terabyte per month last year, and will increase to more than 1,163 terabyte per month this year and more than 2,000 terabytes per month next year.

同樣重要的是行動數據流量。根據思科公司估計，智慧型手機和平板電腦的行動數據流量幾乎每年翻一番，從2009年的每月約91TB增至去年的每月546TB，而今年將增至每月1163TB以上，明年將增至每月2000TB以上。

The dramatic increase of data traffic almost assure two things. First, the number of smartphones and tablets will have a very strong growth in the future. And, second, high transmission speed and larger bandwidths will become necessary, so, as a result, better Semiconductor technology is required. And that one leads to my next topic; why TSMC has very strong positioning in the mobile computing market.

數據流量的急劇增加幾乎可以肯定兩件事。首先，未來智慧型手機和平板電腦的數量將會出現非常強勁的成長。其次，更高的傳輸速度和更大的頻寬將變得必要，因此需要更好的半導體技術。這就引出了我的下一個主題；為什麼台積電在行動運算市場擁有非常強勢的地位。

As I mentioned, in the mobile computing world device feed is very important, but there is another factor to be considered. That is the power consumption. Low power is essential, because you are determining the smartphone and tablet use time. So, in summary, all in all the speed, the lower power that turns out to be the technology -- Semiconductor technology is very, very important.

正如我所提到的，在行動運算世界中設備回饋非常重要，但還有另一個因素需要考慮。這就是功耗。低功耗至關重要，因為您正在決定智慧型手機和平板電腦的使用時間。所以，總而言之，總而言之，速度、更低的功耗是技術——半導體技術非常非常重要。

In the last three years we have increasingly invest on R&D to enhance our progress in the technology. And through working with our customer TSMC can provide to our customer the leading-edge technology optimized for speed and low power consumption.

在過去三年中，我們不斷增加對研發的投資，以促進我們的技術進步。並且透過與客戶的合作，台積電可以為我們的客戶提供針對速度和低功耗進行最佳化的尖端技術。

In addition to processing technology we are also benefit from the ARM architecture, which is famous for the low-power operation and have been used by almost all TSMC customers in their product. And, in fact, it is no surprise that TSMC customers are gaining their market share in the mobile computing and we are growing with them. Further, needless to say that TSMC and ARM are both -- are cooperating together to catch the great opportunity in this mobile computing era.

除了處理技術之外，我們還受益於 ARM 架構，該架構以低功耗運作而聞名，幾乎所有台積電客戶都在其產品中使用了該架構。事實上，台積電客戶在行動運算領域的市佔率不斷擴大，這並不奇怪，我們也正在與他們共同成長。此外，毋庸置疑，台積電和 ARM 正在共同合作，抓住行動運算時代的巨大機會。

Next, I want to talk about why TSMC good positioning and win the [Foundry] market segment share. We have seen a faster technology migration in the past two years. For example, at 65-nanometer node we saw about 35 products at the initial volume ramp and the number growing to 43 product at 40-, 45-nanometer node and about 80 product at 28-nanometer node. Not only the number of products increased. We also saw the same trend in the volume ramp compared with the same period of time.

接下來我想講一下台積電為何能定位準確並贏得【Foundry】細分市場的份額。過去兩年，我們看到科技遷移的速度加快了。例如，在 65 奈米節點，我們在初始批量生產時看到大約 35 種產品，而在 40 奈米、45 奈米節點時，產品數量增長到 43 種，而在 28 奈米節點時，產品數量增長到約 80 種。不僅產品數量增加了。與同期相比，我們也看到銷售成長呈現相同趨勢。

And the faster technology migration, actually, is mainly driven by the performance needed in these three years; higher speeds; lower power; everything. In order to keep up this faster technology migration, that is, shorten the time to the market, TSMC customers has found it is beneficial to have earlier and deeper cooperation in technology definition. As a result, we believe this faster technology migration will help TSMC to gain Foundry market segment share. And, indeed, we have observed Foundry market shares gained about two points from year 2008 to 2011, in spite of new entrants in the same period of time. And thank you that.

而技術遷移的加快，其實主要還是由這三年所需的效能所驅動；更高的速度；降低功率；一切。為了跟上這種更快的技術遷移，即縮短產品上市時間，台積電的客戶發現，在技術定義方面進行更早、更深入的合作是有益的。因此，我們相信這種更快的技術遷移將有助於台積電獲得晶圓代工市場份額。事實上，我們已經看到，儘管 2008 年至 2011 年期間有新進業者，但晶圓代工市場的份額在同一時期仍然增長了約兩個百分點。並對此表示感謝。

This concludes our prepared statements. Operator, please open the floor to questions.

我們的準備好的聲明到此結束。接線員，請開始提問。

Thank you. At this time we will open the floor for questions. (Operator Instructions). Your first question comes from the line of Dan Heyler from Bank of America Merrill Lynch. Please ask your question.

謝謝。現在我們將開始接受提問。（操作員指令）。您的第一個問題來自美銀美林的 Dan Heyler。請提出你的問題。

Good morning and thanks for the -- thanks for taking my call. I wanted to ask you about the 20-nanometer ramp, which appears to be probably ahead of your previous comment that it would be above 10% in the second half of this year. You're now indicating 10% -- higher than 10% for the full year. What's the status of the High-K Metal Gate portion of that? Will that start to kick in soon, or would you expect that to be more meaningful in the second half of the year?

早上好，感謝您接聽我的電話。我想問您關於 20 納米坡道的問題，這似乎可能比您之前的評論要早，即今年下半年它將超過 10%。您現在指出的是 10%——高於全年的 10%。其中高 K 金屬閘極部分的狀態如何？這種影響會很快開始顯現嗎？或者您預計這種影響會在今年下半年變得更有意義？

It's going to be more than 10% for the year, Dan. The revenue contribution of the 28 nanometer is going to be more than 10% for the whole year this year. And roughly in the first quarter it will be 4% or 5% -- 5%. As you know, in -- we said that in the fourth quarter it was 2%. This quarter it will be 5% and then it will gradually build up so that the whole year it will be 10%, or a little more than 10%.

丹，今年的增幅將超過 10%。今年全年28奈米營收貢獻將超過10%。第一季的成長率大概會是 4% 或 5% - 5%。如您所知，我們說過第四季度的成長率為 2%。本季將是5％，然後逐漸增加，以便全年達到10％，或略高於10％。

And High-K Metal Gate, when does it kick in, it has already started to kick in, but it's a little bit -- it's a little behind the oxy-nitride. But it will build up quite fast. So at the end of the year we expect about half oxy-nitride and half High-K Metal Gate.

而高 K 金屬閘極，何時開始發揮作用，它已經開始發揮作用了，但是它稍微落後於氮氧化物一點。但它會很快累積起來。因此，我們預計到今年年底，氮氧化物和高 K 金屬閘極將各佔一半。

Okay, great. Yes, I was just trying to get a sense of the dynamics there because how important that High-K Metal Gate is to achieve a high second-half growth. Is that -- are you assuming that that will occur and that that's one of the major drivers to the second-half portion of 28, if my thinking is correct there?

好的，太好了。是的，我只是想了解那裡的動態，因為高 K 金屬閘極對於實現下半年的高成長至關重要。那是——您是否認為那將會發生，並且那是 28 年下半年的主要驅動因素之一，如果我的想法正確的話？

Yes, that's right, but we don't really have any doubts that High-K Metal Gate is going to work. In fact, it's already started.

是的，沒錯，但我們對高 K 金屬門能否發揮作用毫不懷疑。事實上，它已經開始了。

Okay, great. Okay, thank you. And then on the second question, maybe for C. C. and for Dr. Chang, the collaboration with ARM and TSMC is well known and it's been going on for some time. I wanted to get a sense of your thought process in this ecosystem moving into the PC space. Is that something that we would -- that ecosystem would be positioned to in the 20-nanometer node, with your three initiatives taking place, would combine that? Does that position --?

好的，太好了。好的，謝謝。然後關於第二個問題，也許是 C。C.以及博士張忠謀表示，與 ARM 和台積電的合作眾所周知，而且已經持續了一段時間。我想了解您在這個生態系統進入 PC 領域時的思考過程。這是我們想要的嗎——這個生態系統將定位在 20 奈米節點，並隨著您的三個計劃的實施，將其結合起來？那個職位是--？

The collaboration with ARM, will it continue to the [0.21] nanometers and beyond in the PC space also? Yes, I very much expect that.

與 ARM 的合作是否也會在 PC 領域延續到 [0.21] 奈米及以下？是的，我非常期待。

I'm just wondering whether you think the performance level would position TSMC and ARM for a PC presence at the 20-nanometer node, or could it come earlier, say, in the 28-nanometer node?

我只是想知道，您是否認為性能水平可以讓台積電和 ARM 在 20 奈米節點上佔據 PC 市場，或者是否可以更早一些，例如在 28 奈米節點上？

C. C., do you want to answer that?

C.C.，你想回答這個問題嗎？

Okay, Dan, I cannot say that the high-speed CPU will enter in that area, but you know there is some CPU combined with the graphic and we are gaining market share from there.

好的，丹，我不能說高速 CPU 會進入那個領域，但你知道有一些 CPU 與圖形結合，我們正在從那裡獲得市場份額。

In other words, the --

換句話說，——

In the low-end market, is it?

在低端市場是嗎？

Combined CPU and graphics, you understand.

結合 CPU 和圖形，你懂的。

Yes. Actually, I would not say in the low end, but let's say that in the mobile product.

是的。實際上，我不會說是在低端，而是在移動產品方面。

Okay, thank you. Looking to share more color on that going forward. That sounds like an interesting initiative.

好的，謝謝。希望今後能分享更多關於此方面的資訊。這聽起來是個有趣的舉措。

And the final, very quick question for Lora. If I could get some color on the different Fab capacity movements in the first quarter. I don't know if you can pull up that slide. It seems as though some of the 8-inch Fab capacity -- you've got some Fabs declining, Fab-2 and Fab-3 declining, Fabs-5 and Fab-6 are actually increasing. The only reason why I'm bringing it up is they've been pretty stable over the last couple of quarters and the first quarter seems to have some capacity movements on the 8-inch.

最後一個問題，非常簡短，是問 Lora 的。如果我可以了解第一季不同晶圓廠產能變動的情況。我不知道你是否能拉出那張投影片。似乎有些 8 吋晶圓廠的產能正在下降，Fab-2 和 Fab-3 產能正在下降，而 Fab-5 和 Fab-6 產能實際上正在增​​加。我之所以提起這個問題，唯一的原因是它們在過去幾個季度中一直非常穩定，而且第一季 8 英寸的產能似乎有一些變動。

And then, as you look on the 12-inch front, the two big increases that you've already talked about on the first quarter at Fab-12 and Fab-14, I presume, are 20 nanometer.

然後，當您查看 12 英寸前端時，您在第一季談到的 Fab-12 和 Fab-14 的兩個大的增長，我推測是 20 奈米。

And, finally, the third part of the question is how much growth this year will you have in 40 nanometer, because I do understand that you're upgrading some of your Xx65 nanometer to 40 nanometer. So how much growth in 40 will there be as a result of those upgrades? Thank you.

最後，問題的第三部分是今年你們在 40 奈米方面會有多少成長，因為我知道你們正在將部分 Xx65 奈米升級到 40 奈米。那麼，這些升級將使 40 國實現多少成長？謝謝。

Okay, Dan, you were asking about the Fab capacity increase in the first quarter. You just mentioned there are some changes in 8-inch. As I mentioned in my earlier remarks, there were some 8-inch coming down for the annual maintenance. So the capacity for those Fabs will be slightly smaller than the fourth quarter.

好的，丹，您問的是第一季晶圓廠產能增加的情況。您剛才提到8英寸有一些變化。正如我在之前的評論中提到的那樣，由於年度維護，大約有 8 英寸的雪落下來了。因此這些晶圓廠的產能將比第四季略小。

The two big 12-inch Fabs, just 14 and 12, they are all undertaking the expansion for 28 nanometer, the majority, and Fab-14 has some small increase on 40 nanometer, so that's the increased part.

兩座大型的12吋晶圓廠，也就是14號和12號，都在進行28奈米的擴產，佔了大部分，而Fab-14在40奈米方面有一些小的提升，所以這是增加的部分。

What's your second part of the question?

你問題的第二部分是什麼？

Will 65-nanometer capacity decline this year and how much will 40 increase?

今年65奈米產能會下降嗎，40奈米產能會增加多少？

I see. 40 nanometer will increase slightly. Well, if you talk about year over year, 40 nanometer increase about 20%. 65 will -- we were migrating 65 to 28, so, overall, 65-nanometer capacity will go down.

我懂了。40奈米會稍微增加。嗯，如果談論同比，40 奈米增長了約 20%。65 將會－我們正在將 65 遷移到 28，因此，總體而言，65 奈米的容量將會下降。

Excellent, thank you.

非常好，謝謝。

Thank you for your question. The next question comes from the line of Mahesh Sanganeria from RBC Capital Markets. Please ask your question.

感謝您的提問。下一個問題來自 RBC Capital Markets 的 Mahesh Sanganeria。請提出你的問題。

Thank you. Thank you very much. If I can just follow up on the previous question. Did you say that you're migrating 65 into 28 nanometer, or 65 into 40 nanometer?

謝謝。非常感謝。我可以繼續回答上一個問題嗎？您是否說過要將 65 奈米遷移至 28 奈米，或將 65 奈米遷移至 40 奈米？

65 into 28 nanometer.

65變成28奈米。

Okay, and another question on 20 nanometer. You said you would start risk production by end of this year. When do you expect the Wafer shipment for revenues?

好的，還有一個關於 20 奈米的問題。您說過將在今年年底前開始風險生產。您預計晶圓出貨量何時能帶來收入？

Now, the 20 nanometer we will start --

現在，我們將開始 20 奈米——

2014.

2014年。

Two thousand -- no.

兩千——沒有。

Second half.

下半場。

Second half of 2013, yes. Not this year. 2013 second half.

是的，2013 年下半年。今年沒有。2013年下半年。

Okay.

好的。

And what was the --

那是什麼——

So, one last question.

那麼，最後一個問題。

Yes?

是的？

One last question. How much capital are you allocating for 20 nanometer this year?

最後一個問題。今年你們為20奈米投入了多少資金？

20 nanometer, we are not spending very much tools money -- very much equipment money -- capital equipment money. However, we are building facilities, building plants in -- well, in both Taichung and in Hsinchu. So we're not very -- we're not spending very much equipment money -- production equipment money. We are spending some R&D equipment money on the 20 nanometer.

20奈米，我們不會花太多的工具錢，而是花太多的設備錢，也就是資本設備錢。然而，我們正在台中和新竹建設設施、建造工廠。因此，我們不會花費太多的設備資金——生產設備資金。我們正在20奈米上投入一些研發設備資金。

Can you give us an initial estimate if you have in terms of how much the cost will increase for 20-nanometer from 28-nanometer equipment cost?

如果有的話，您能否給我們一個初步估計，即 20 奈米設備成本相對於 28 奈米設備成本會增加多少？

It's about a ratio of 1.45, I think, yes. 1.45 per thousand Wafers per-month capacity. If it costs $1 capital in -- on the 28 it will another 45 on 20. Have I explained myself?

是的，我認為這個比例大約是 1.45。每千片晶圓月產能1.45元。如果 28 日投入 1 美元資本，那麼 20 日就會再投入 45 美元。我解釋清楚了嗎？

Okay. Thank you very much. Yes, thank you. Thank you.

好的。非常感謝。是的，謝謝。謝謝。

Thank you for your question. Your next question comes from the line of Mehdi Hosseini from Susquehanna. Please ask your question.

感謝您的提問。您的下一個問題來自薩斯奎哈納的梅赫迪·胡賽尼 (Mehdi Hosseini)。請提出你的問題。

Yes, thanks for taking my question. Going back to the margin commentary on 28 nanometer, when, this year, would you expect the 28-nanometer gross margin to come up in line with the corporate average? And would there be -- and, beyond that, would margin actually for 20 nanometer increase above corporate average? And I have a follow up.

是的，感謝您回答我的問題。回到對 28 奈米利潤率的評論，您預計今年何時 28 奈米毛利率會與企業平均水平持平？除此之外，20 奈米的利潤率是否真的會高於企業平均？我還有一個後續行動。

Yes. It will come very close to corporate average in the fourth quarter this year. And I really hope and expect that it will be above corporate average next year.

是的。今年第四季它將非常接近企業平均值。我真的希望並期待明年的業績將高於企業平均。

Okay. And then, regarding the CapEx, it is my understanding based on what I am noticing at equipment vendors that maybe the majority of the CapEx has already been communicated, POs placed. So would I be fair to say that the CapEx in 2012 is going to be front-loaded spending in the first half much higher than the second half?

好的。然後，關於資本支出，根據我在設備供應商處觀察到的情況，我的理解是，可能大部分資本支出已經傳達，採購訂單已經下達。那麼，我可以公平地說，2012 年上半年的資本支出將比下半年高出許多嗎？

No, no. Lora, you want to answer that question?

不，不。蘿拉，你想回答這個問題嗎？

Yes. It's only slightly more than 50% first half, not too much.

是的。只是略高於上半部的50%，並不是太多。

I'm sorry, more than 60%?

抱歉，超過 60% 嗎？

More -- a little more than 50%. The number I remember is 52% or 53% in the first half and --

更多——略多於50%。我記得上半年的數字是 52% 或 53%，而且—

Okay.

好的。

-- and 47% to 48% in the second half.

——下半年則從47%升至48%。

Okay. And then, if the overall macro picture were to improve, would -- what are the prospects or the probability of increasing CapEx, let's say, by summertime? Is that event under consideration?

好的。那麼，如果整體宏觀情勢有所改善，那麼到夏季，增加資本支出的前景或可能性有多大？是否正在考慮該活動？

Yes, there is some possibility. And the -- if you recall, well, last year in the -- in January, a year ago, we guided our corporate spending -- I'm sorry, capital spending last year at TWD7.8b. It ended up TWD7.3b. And the year before, that's two years ago January, we guided our capital spending in 2010 at --

是的，有一定的可能性。如果你還記得的話，去年 1 月份，也就是一年前，我們預期企業支出——去年的資本支出為 78 億新台幣。最終價格為73億新台幣。前一年，也就是兩年前一月份，我們預期 2010 年資本支出為—

TWD4.8b.

48億新台幣。

TWD4.8b. It ended up --

48億新台幣。最終——

TWD5.9b.

59億新台幣。

-- TWD5.9b. So 2010 our capital expenditure exceeded our guidance early in the year and 2011 our capital -- our actual capital expenditure was less than what we guided. So, yes -- and both years -- you know what happened in both years. In 2010 the climate was better than we expected and then in 2011 it was worse than we expected. So this year, depending on the macro situation, yes, it could be up or down. Yes, that's right.

-- 59億新台幣。因此，2010 年我們的資本支出超過了年初的預期，而 2011 年我們的實際資本支出低於預期。所以，是的——而且這兩年——您都知道這兩年發生了什麼。2010年的氣候比我們預期的要好，但2011年卻比我們預期的要差。因此，今年，根據宏觀形勢，可能會上升，也可能會下降。是的，沒錯。

Got it, thank you.

知道了，謝謝。

Thank you for your question. Your next question comes from the line of Szeho Ng from BNP. Please ask your question.

感謝您的提問。您的下一個問題來自法國國家黨的 Szeho Ng。請提出你的問題。

Hi, good evening. Just out of curiosity, with regard to your R&D budget this year, what percentage will be allocated for [advanced] R&D?

嗨，晚上好。只是出於好奇，就今年的研發預算而言，其中有多少百分比將分配給[高級]研發？

What's that, sorry?

那是什麼，對不起？

Percentage of R&D? You mean CapEx?

研發所佔比例？你指的是資本支出 (CapEx) 嗎？

[That's it], yes, for this year.

是的，今年就是這樣。

R&D expense.

研發費用。

R&D operating expense, or R&D capital expense?

研發營業費用，還是研發資本費用？

Operating expense.

營業費用。

As a percent of what?

佔什麼百分比？

The R&D expense allocated for back end.

分配給後端的研發費用。

Back end?

後端？

Back-end R&D.

後端研發。

Back-end R&D. Well, I will -- I don't have that number at hand. It's not a major part of our total R&D.

後端研發。嗯，我會的——但我手邊沒有這個號碼。它不是我們整個研發的主要部分。

Okay, all right. And then the other question I have is on the tax-band rate for modeling purpose, because the last couple of years the percentage was pretty low. So I just want to know a number you have for modeling purpose.

好的，好的。我的另一個問題是關於建模目的的稅率，因為過去幾年該比例相當低。所以我只想知道你用於建模目的的數字。

You're asking about tax rate?

你問的是稅率嗎？

Yes.

是的。

Yes.

是的。

Last year we were close to 7%. This year will be 8%.

去年我們的成長率接近7%。今年將達8%。

You mean for this year?

你是指今年嗎？

This year will be around 8%, including --

今年將達到 8% 左右，其中包括——

Okay, all right.

好的，好的。

-- the tax -- (inaudible) for the tax credits.

——稅收——（聽不清楚）用於稅收抵免。

Okay, all right, got you. Okay, thank you very much.

好的，好的，明白了。好的，非常感謝。

Thank you for your question. The next question comes from the line of Michael Chou from Deutsche Bank. Please ask your question.

感謝您的提問。下一個問題來自德意志銀行的 Michael Chou。請提出你的問題。

Good evening, just a follow-up question for 20-nanometer High-K Metal Gate. Chairman, do you expect an accelerated adoption of 20-nanometer High-K Metal Gate in mobile devices in 2013, or second half this year, given that it seems that there's a limited adoption?

晚上好，這只是關於 20 奈米高 K 金屬閘極的一個後續問題。主席，考慮到目前 20 奈米高 K 金屬閘極在行動裝置中的應用似乎有限，您是否預計 2013 年或今年下半年該技術將在行動裝置中加速應用？

(Multiple speakers).

（多位發言者）。

Michael, Michael, could you please repeat? Do we expect accelerated what? Adoption of --

邁克爾，邁克爾，你能再說一遍嗎？我們期望加速什麼？採用——

Accelerated adoption of 20-nanometer High-K Metal Gate in mobile devices in 2013, given there seems a limited adoption in 2012.

2012 年 20 奈米高 K 金屬閘極在行動裝置的應用似乎還比較有限，但 2013 年這一領域將加速發展。

Well, actually, I don't think the adoption in 2012 is limited. It is -- frankly, it is limited by our capacity and -- it's limited by our capacity and our ability to ramp up the production. So to answer your question, yes, I do expect it will accelerate in 2013, but it will accelerate in 2012 also.

嗯，實際上，我認為 2012 年的採用並不受到限制。坦白說，它受到我們產能的限制，它受到我們產能和提高產量的能力的限制。所以回答你的問題，是的，我確實預計它會在 2013 年加速，但 2012 年也會加速。

Thank you, I have no further question.

謝謝，我沒有其他問題了。

Thank you for your question. Next, we have a follow-up question from the line of Dan Heyler from Bank of America Merrill Lynch. Please ask your question.

感謝您的提問。接下來，我們有來自美銀美林的 Dan Heyler 的後續問題。請提出你的問題。

Thanks for the follow up. Dr. Chang, today you had commented on the Solar portion of your business perhaps contributing somewhat to revenue towards the latter part of the year. I was looking through my notes to see if there are any comments on the LED bit. Do you anticipate some contribution to revenue this year as well as the Solar, or is that something (multiple speakers)?

感謝您的跟進。博士張先生，今天您評論說，貴公司的太陽能業務部分可能會在今年下半年為收入做出一定貢獻。我正在查看我的筆記，看看是否有關於 LED 位的評論。您預計今年太陽能業務是否會對收入產生一些貢獻，或者是什麼（多位發言者）？

Yes, I said both, but it will be very modest. But it's not nothing. It's -- but it's modest.

是的，我說的是兩者，但會非常謙虛。但這並非什麼事。是的—但是很謙虛。

Okay, excellent. And then another follow up was in relation to the back-end strategy. I know that there's been -- it's still work in progress and you're consulting with your partners and customers on this. So I wanted just to clarify the eco-system itself you're working on, the CoWoS, with your partners and the Substrate attachment part would still be done by your back-end partners? Is that -- are you 100% sure of that? That's the strategy now, that the back-end partners, the [OSET], the ASTs and the [Silver] of the world will still be doing the Substrate attachment? And I presume, then, also the encapsulation and the packaging and tests as well, which is (multiple speakers)

好的，非常好。然後另一個後續問題與後端策略有關。我知道這項工作仍在進行中，您正在就此事與您的合作夥伴和客戶進行協商。所以我想澄清一下您正在與合作夥伴共同開發的生態系統本身，CoWoS 和 Substrate 附件部分仍將由您的後端合作夥伴完成嗎？是的——你 100% 確定嗎？現在的策略是，後端合作夥伴、[OSET]、AST 和 [Silver] 仍會進行 Substrate 附件嗎？我推測，封裝、包裝和測試也是如此，（多位發言者）

I will let Dr. Wei -- C. C. Wei answer that one.

我會讓博士。魏——C.C.魏先生回答了這個問題。

Okay, Dan, the Substrate was cooperated with our OCS partners. And whether we put the [dye and] Substrate will put by [OCR] or put by the partners, that -- at the beginning it was be done by TSMC and, finally, I think that we will cooperate each other.

好的，Dan，Substrate 是與我們的 OCS 合作夥伴合作的。無論我們將[染料和]基板放在[OCR]還是由合作夥伴放置，一開始都是由台積電完成的，最後，我認為我們將相互合作。

Did you get that? He said that already --

你明白了嗎？他已經說過——

Yes, I did.

是的，我做到了。

-- initially we'll probably do it ourselves, putting the --

——最初我們可能會自己做，把——

The chip.

晶片.

Well, the chip on the sub.

嗯，潛水艇上的晶片。

On the interposer and then on the Substrate.

先在中介層上，再在基板上。

Putting -- well, we will always put the chip on the interposer ourselves.

放置－好吧，我們總是自己把晶片放在中介層上。

That's right, yes.

是的，沒錯。

That's our business model of CoWoS. We will not use an OSET to put a chip on the interposer. But as far as putting the interposer on the Substrate is concerned, then, initially we plan to do that too, but eventually I think that's what C. C. said. It would be done by OSET. Is that right?

這就是我們的 CoWoS 商業模式。我們不會使用 OSET 將晶片放置在中介層上。但就將中介層放在基板上而言，最初我們也計劃這樣做，但最終我認為這就是 C。C.說。它將由 OSET 完成。是嗎？

Yes.

是的。

Next, on why the -- why the change? Why would you do it first and then move it to (multiple speakers?

接下來，為什麼──為什麼要改變？為什麼要先做這件事，然後再將其移至（多個揚聲器？

The Wafer on Substrate? Why do we do that first?

基板上的晶圓？我們為什麼先這麼做？

Yes, why?

是啊，為什麼呢？

You're talking about the Wafer on Substrate now, right? As far as --

現在您談論的是基板上的晶圓 (Wafer on Substrate)，對嗎？據，直到...為止 -

Correct, yes, and then moving that to OSET.

正確，是的，然後將其移至 OSET。

Okay, let me answer the question, Dan. At the beginning we want to do it by ourselves because we have a concern about this trace, about the device matching and all kinds of things together. And once we are very competent at doing that -- because we have to buy the Strate -- Substrate, I'm sorry. We have to buy the Substrate for the OSET people. And then we want to do it by ourselves at the beginning due to the concern of mechanical Strates, (inaudible) and everything which are (inaudible) related. Once we are very familiar and we have a competence then we will work the OCR transposer technology, will co-operate with them, so that in the mass production that they can also handle it.

好的，讓我來回答這個問題，丹。一開始我們想自己做，因為我們對這個走線、對設備匹配以及各種東西的結合有顧慮。一旦我們非常擅長做到這一點 - 因為我們必須購買Strate - Substrate，對不起。我們必須為 OSET 人員購買基板。然後，由於對機械戰略（聽不清楚）以及與（聽不清楚）相關的一切事物的關注，我們一開始就想自己做。一旦我們非常熟悉並且具備了能力，我們就會研究OCR轉置器技術，與他們合作，以便在大規模生產中他們也可以處理它。

That's great. I'm trying to conceptualize this technology as how we should think about it. Is this something that we should think about as keeping more [law] going in another way, given that a lot of chips are increasing their memory size, many SoCs, the memory bit is getting larger and die sizes are getting quite large?

那太棒了。我正在嘗試將這項技術概念化為我們應該如何思考它。鑑於許多晶片正在增加其記憶體大小，許多 SoC、記憶體位越來越大且晶片尺寸越來越大，我們是否應該以另一種方式考慮保持更多[定律]的運轉？

So is -- perhaps the longer-term outcome is that moving the memory off chip on an interposer, that this is a meaningful cost reduction for your customers and, therefore, we're creating more value. Because I think some investors are confused whether this is you moving to the back end and taking away the business that -- from a back-end process. Or is this really essentially a front-end, value-creation exercise? If you could just conceptualize this for the investors that would be great, thanks.

所以——也許長期的結果是將記憶體從晶片移到中介層上，這對您的客戶來說是一個有意義的成本降低，因此，我們創造了更多的價值。因為我認為有些投資人感到困惑，這是否意味著你們要轉向後端，並從後端流程中拿走業務。或者這實際上本質上是一個前端的、創造價值的活動？如果您能向投資者闡述這一點，那就太好了，謝謝。

Do I have to answer?

我必須回答嗎？

Yes, please.

是的，請。

Okay, Dan. Actually, we put -- you're talking about quite a long sentence, but let me answer in a very short one. We put the chip in, put the memory interposer that we can -- first, we can move the -- more slow ahead. Secondly, actually, it's for the performance, because you put two together, you can save the power consumption. You eliminate a lot of IOs, all right? And so the speed also been cut -- been reserved and you -- because in omitting the IOs so that you save a lot of power consumption. That's the idea. So the cost is lower.

好的，丹。實際上，我們——你說的是一個很長的句子，但讓我用一個很短的句子來回答。我們將晶片放入其中，放入記憶體插入器，這樣我們可以——首先，可以移動得更慢。其次，實際上，這是為了性能，因為你把兩個放在一起，可以節省功耗。你消除了很多 IO，好嗎？因此速度也被降低了 — — 因為省略了 IO，所以您節省了大量的功耗。這就是想法。所以成本較低。

So this is a way for chip companies to effectively lower their die size but maintain the same performance level. Is that right?

因此，這是晶片公司有效降低晶片尺寸但保持相同性能水平的一種方法。是嗎？

Yes.

是的。

Okay, thank you. And is it important for you to have a memory partner here? There's been also some arguments that those that have vertical integration and have the memory technology -- is that a differentiator for some that knows memory, or is that not the case?

好的，謝謝。在這裡擁有記憶夥伴對您來說重要嗎？還有一些爭論說，那些擁有垂直整合和記憶體技術的人——對於了解記憶體的人來說，這是一個區別因素嗎，還是事實並非如此？

Yes, we have our partners in the memory field.

是的，我們在記憶體領域有合作夥伴。

Is it important for us? I think so, yes. This is Morris, Dan. Your question, is it important for us to have a memory partner, yes, I think so, because we need to put memories on the interposer also.

這對我們重要嗎？是的，我想是的。這是莫里斯，丹。你的問題是，擁有一個記憶體合作夥伴對我們來說是否重要，是的，我認為是這樣，因為我們也需要將記憶體放在中介層上。

Does your competitor have an advantage for -- i.e. Samsung with some of their memory?

你的競爭對手是否有優勢？例如：三星有他們的記憶體嗎？

I don't know. I don't know about that, because we're working with almost every memory manufacturer, except what you call our competitors.

我不知道。我對此並不了解，因為除了你們所謂的競爭對手之外，我們幾乎與所有記憶體製造商都有合作。

Okay.

好的。

And so they are -- every one of them is quite eager to work with us, because they know that we are actually their defense against their competitor too.

事實上他們每個人都非常渴望與我們合作，因為他們知道我們實際上也是他們抵禦競爭對手的防禦力量。

Well put, thank you.

說得好，謝謝。

Thank you for the question. The next question comes from the line of Mehdi Hosseini from Susquehanna. Please ask your question.

感謝您的提問。下一個問題來自薩斯奎哈納的梅赫迪·胡賽尼 (Mehdi Hosseini)。請提出你的問題。

Yes, two follow-up questions, first, on the depreciation. Can you remind me, please, the year-over-year growth from '11 into '12?

是的，還有兩個後續問題，首先是關於折舊。您能否提醒我從 2011 年到 2012 年的年成長情況？

Okay, Mehdi. TWD6b CapEx will increase our depreciation, with our current estimation, about 20% year over year.

好的，梅赫迪。60 億新台幣的資本支出將使我們的折舊增加，按照我們目前的估計，比去年同期增加約 20%。

20%, okay. And then one other thing I notice, the mix of your revenue by Fabless versus IDMs. Back in 2007 IDM accounted for a third of your revenue. Now it has gone down to about 15%, 16%. Is that a reflection of the secular change, more of an ARM ecosystem, or does that mean that when IDMs see full utilization rate they're going to come back to you and it would have additional revenue opportunity for you?

20%，好的。然後我注意到的另一件事是，你們的收入來自 Fabless 和 IDM。早在 2007 年，IDM 就佔了你們收入的三分之一。現在已下降至約15%、16%。這是長期變化的反映，更多的是 ARM 生態系統，還是意味著當 IDM 看到充分利用率時，他們就會回到您身邊，這會為您帶來額外的收入機會？

Well, let me try this answer. This is Morris. The line between IDM and Fabless is a very, very much blurred one now. This has happened just in the last four, five years and at leading-edge technology. In fact, it started with 40 nanometer. They will only -- there are only, I would say, two IDMs. And that's true at 28 nanometer also. So all the rest at 28 -- yes, 28 and 40. Everyone except those two is a Fabless.

好吧，讓我嘗試一下這個答案。這是莫里斯。現在，IDM 和 Fabless 之間的界線已經非常模糊了。這只是在過去四、五年內發生的事情，並且發生在尖端技術領域。事實上，它是從 40 奈米開始的。他們只會——我想說，只有兩個 IDM。對於 28 奈米也是如此。其餘的人都在28歲——是的，28歲和40歲。除了他們兩個之外，其他都是 Fabless。

Okay.

好的。

Yes.

是的。

Now, just as a follow up, when we compare the 28-nanometer transition to prior transitions, let's say, 65 to 40, and with IDMs not having any 28-nanometer capacity, does that mean that the pricing power for TSM is better compared to the previous time? It is -- 28 is more capital intensive; that's why your margins are below corporate. But once you get a scale does that change your pricing power compared to previous transitions?

現在，作為後續問題，當我們將 28 奈米過渡與先前的過渡進行比較時，比如說 65 奈米到 40 奈米，並且 IDM 沒有任何 28 奈米產能，這是否意味著 TSM 的定價能力比上次更好？是的——28 資本密集程度更高；這就是你們的利潤低於公司利潤的原因。但是一旦你有了規模，與之前的轉變相比，你的定價能力是否會改變？

The fact that the 28 margin right now is below corporate average is a very natural one, I think. It happened every generation and I expect that it will happen in the future, in future generations, 20 nanometer and 40 nanometer and so on, because this is the well-known learning curve effect. And when you start making something in production it always a pretty high cost. The scale is low and the yield is generally still on the very sharp upslope.

我認為，目前 28% 的利潤率低於企業平均是非常自然的。每一代都會發生這種情況，我預期未來也會出現這種情況，在未來的幾代人中，20奈米、40奈米等等，因為這是眾所周知的學習曲線效應。當你開始生產某樣東西時，成本總是相當高的。規模較低，殖利率整體仍處於非常急劇的上升趨勢。

And so -- and you can possibly -- if you try to charge a price that compensates you for the very inefficient manufacturing at the early stage of a technology, then you find that nobody's willing to pay it.

因此——而且是有可能的——如果你試圖收取一定的價格來補償技術早期階段非常低效的製造成本，那麼你會發現沒有人願意支付這筆費用。

So the fact that the margin's low this year, to us, it's something that we accept in every new generation. And, as I said earlier, I expect the margin will close -- will become very close to the corporate average by the fourth quarter of this year. And I expect it will actually surpass the corporate average next year.

所以，對我們來說，今年的利潤率較低，這是我們在每一代新產品中都能接受的。而且，正如我之前所說，我預計利潤率將會接近——到今年第四季將非常接近企業平均值。我預計明年它實際上將超過企業平均水平。

Sure --

當然 -

As far as --

據，直到...為止 -

-- got it. Thank you.

- 知道了。謝謝。

You also asked the question -- you also asked a question about pricing power.

您也問了一個問題—您也問了一個關於定價權的問題。

Pricing power.

定價權。

Yes. Well, I don't like to use that term, because it's -- I don't like it. All I would say is that we try to make the price -- yes.

是的。嗯，我不喜歡使用這個詞，因為——我不喜歡它。我想說的是，我們會盡力確定價格——是的。

Let me simplify it for you. Your only other competitor this year is still on a gate-first technology. And then, even beyond this year --

讓我為你簡化一下。今年您唯一的其他競爭對手仍然採用的是門控先行技術。然後，甚至在今年以後——

They are not --

他們不是——

-- let's say at 20 --

——假設是 20 ——

They're only -- are they our only competitor? I guess so, yes. Yes, I'm sorry. Yes, yes. Okay, yes, yes. Yes.

他們只是──他們是我們唯一的競爭對手嗎？是的，我想是的。是的，很抱歉。是的，是的。好的，是的，是的。是的。

Right. Well, the one or two competitors are still at a gate-first technology and as you migrate to 20 nanometer they still have some catching up to do. So -- I'm -- and I'm just trying to state a rationale. You still are the only viable Foundry solution, but also you have to be mindful of your customers' own pricing power. So I'm just trying to reconcile if you would use your competitive advantage to ask for higher prices, or overall margins are going to remain close to what we have seen in the prior cycles.

正確的。目前，有一兩家競爭對手仍處於門極先行 (gate-first) 技術，而當遷移到 20 奈米時，他們仍然需要做一些赶超。所以 — — 我 — — 我只是想陳述一個理由。您仍然是唯一可行的 Foundry 解決方案，但您也必須注意客戶自己的定價能力。因此，我只是想知道您是否會利用您的競爭優勢來要求更高的價格，或者整體利潤率是否將保持接近我們在前幾個週期所看到的水平。

Our customers are our partners and we're going to -- we're not going to do anything that would destroy that.

我們的客戶是我們的合作夥伴，我們不會做任何破壞這一點的事情。

Okay, got it.

好的，明白了。

Sorry, Operator, in the interests of time we will only allow two more callers' questions. Please go ahead.

抱歉，接線員，由於時間關係，我們只允許再回答兩位來電者的問題。請繼續。

Thank you. Next question comes from the line of Steven Pelayo from HSBC. Please ask your question.

謝謝。下一個問題來自匯豐銀行的史蒂文‧佩拉約 (Steven Pelayo)。請提出你的問題。

Yes, great. I want to ask a little bit about the 40-, 45- nanometer node. Right now, is your visibility suggesting that that continues to grow, or are those people migrating now to 28 nanometer? I guess I'm just trying to understand on a dollar basis, as you look at the first quarter to second quarter, are you pretty confident of that 40-, 45-nanometer growth?

是的，太棒了。我想問一些關於40奈米、45奈米節點的問題。現在，您的可見性是否表明這種趨勢將繼續增長，或者這些人現在是否正在遷移到 28 奈米？我想我只是想從美元的角度來了解，當你看第一季到第二季時，你是否對 40 奈米、45 奈米的成長很有信心？

Yes, 40, 45 nanometers is continuing to grow. The volume this year will be higher than last year. And --

是的，40、45奈米還在持續成長。今年的數量將會比去年更多。和 -

And then earlier today -- I'm sorry. Earlier today you have hinted that once you get up the yield curve, I think you said it takes about three quarters or so, it surpasses the corporate average margin. So is it safe for me to assume that your 40, 45 nanometer today is surpassing your corporate average margins already?

然後今天早些時候--我很抱歉。今天早些時候，您暗示一旦殖利率曲線上升，我想您說過大約需要三個季度左右的時間，它就會超過企業平均利潤率。那麼，我是否可以肯定地說，你們今天的 40、45 奈米已經超過了你們公司的平均利潤率？

Yes, 40, 45 nanometer is higher than corporate average.

是的，40、45奈米高於企業平均。

Okay. Then my last question is, a lot of questions are being asked about structural profitability with your depreciation growing, [easing] your revenue growth for a couple of years here or so. And we keep talking about capital intensity being 1.4 times greater in each node and -- is -- I know we don't want to call it pricing power, but I just want to make sure your customers or your partners really do understand the value you're delivery. Are the ASPs that you're seeing at this particular stage, whatever it is, 10,000, 20,000 Wafers a month or something, for 20 nanometer also at multiples, where it's 1.4 times greater? I'm just trying to understand the pricing multiple (multiple speakers).

好的。我的最後一個問題是，很多人都在問關於結構性獲利能力的問題，因為你們的折舊不斷增加，這會減緩你們幾年左右的收入成長。我們一直在談論每個節點的資本密集度要高出 1.4 倍，我知道我們不想稱之為定價權，但我只是想確保您的客戶或合作夥伴真正了解您提供的價值。在此特定階段，您所看到的 ASP 是否是每月 10,000 或 20,000 片晶圓，或者 20 奈米晶圓的產量也是其倍數，甚至是 1.4 倍？我只是想了解定價倍數（多位發言者）。

You are saying you hope our customers understand the value we are offering to them. Is that what you're saying?

您說您希望我們的客戶了解我們為他們提供的價值。你是這個意思嗎？

I just want to make sure you're able to price for the value that you're bringing, given that you have to pay so much more for the CapEx.

我只是想確保你能夠為你帶來的價值定價，因為你必須為資本支出付出更多的錢。

Steve, we spare no effort in convincing our customer, persuading our customer that we are really giving them big value, even bigger value than he is willing to pay for.

史蒂夫，我們不遺餘力地說服我們的客戶，讓客戶相信我們確實給了他們巨大的價值，甚至比他願意支付的還要大。

And is there any way you can quantify and have some color on what the 20-nanometer ASP as a multiple of your 40 nanometer, 65 nanometer, your blended average? Give me a general idea to help me understand, giving you have to pay so much more for the CapEx at 20 nanometer.

有什麼方法可以量化並說明 20 奈米 ASP 是 40 奈米、65 奈米混合平均值的倍數嗎？請給我一個大概的概念來幫助我理解，因為你必須為 20 奈米的資本支出支付更多的錢。

I understand the comment. I don't want to comment on 20-nanometer pricing now, no.

我理解這個評論。我現在不想對 20 奈米的定價發表評論。

Okay.

好的。

Thank you.

謝謝。

Take care.

小心。

Thank you. And your last question comes from the line of Brett Simpson from Arete Research. Please ask your question.

謝謝。您的最後一個問題來自 Arete Research 的 Brett Simpson。請提出你的問題。

Thanks very much. I have a question for Dr. Chang on Samsung. So, Dr. Chang, Samsung's Logic business has grown something like 70% last year and they're talking about a big CapEx year again in 2012. How do you view their overall manufacturing capability? And given they're the only ARM chip maker with their own leading-edge Fabs, how do you think about Samsung? Do you think it's a -- they're a long-term risk for the Foundry sector?

非常感謝。我有一個問題要問博士。張先生就三星公司。所以，博士。張先生說，三星的邏輯業務去年增長了 70% 左右，他們正在討論 2012 年再次成為資本支出大年。您如何看待他們的整體製造能力？鑑於他們是唯一擁有自己領先晶圓廠的 ARM 晶片製造商，您如何看待三星？您認為這對鑄造業來說是一個長期風險嗎？

I think they're a formidable competitor and I do expect that they will grow their -- well, maybe not their Foundry business. They will certainly grow their -- what do they call it, System LSI, yes. Remember, now, it's -- System LSI has a major role in supplying Samsung itself with Logic products.

我認為他們是一個強大的競爭對手，我確實預計他們會發展他們的——好吧，也許不是他們的代工業務。他們肯定會發展他們的——他們稱之為系統 LSI，是的。請記住，現在，系統 LSI 在為三星本身提供邏輯產品方面發揮著重要作用。

And of course Samsung's use -- their own use of their Logic ICs in smartphones, in tablets and even in consumer electronics -- other consumer electronics, has been growing. And now, Foundry, the way we do it is only part of the System LSI business. Now, I expect their System LSI business to grow very fast. The numbers you cited really apply to their System LSI business, though, and Foundry is only a part of it. But they are a formidable competitor -- they are a formidable competitor in the Foundry field, yes.

當然，三星在智慧型手機、平板電腦甚至消費性電子產品中對其邏輯積體電路的使用也在不斷增長。現在，我們開展代工業務的方式只是系統 LSI 業務的一部分。現在，我預計他們的系統 LSI 業務將會快速成長。不過，您引用的數字確實適用於他們的系統 LSI 業務，而 Foundry 只是其中的一部分。但他們是一個強大的競爭對手——是的，他們是鑄造領域的一個強大競爭對手。

Great. Great, thanks. And, Lora, just a follow up. I think there was an earlier question on depreciation. But I guess in the last few quarters 300-millimeter shipped Wafers have been sequentially pretty flat and now you're talking about it growing again in first quarter on a sequential basis. Can you -- now that that's kicking up again, can you talk a bit about depreciation over the next few quarters, how that might trend?

偉大的。非常好，謝謝。還有，Lora，這只是一個後續問題。我認為之前有一個關於折舊的問題。但我想在過去幾個季度中，300毫米晶圓的出貨量一直在環比持平，而現在你說的是第一季它環比再次增長。現在這種情況又開始出現了，您能談談未來幾季的折舊情況嗎，以及趨勢如何？

Well, the first-quarter depreciation will go up roughly 5% and after the second quarter it will go up more rapidly, as we plan the pre-packs. Slightly more than half will be first half of this year.

嗯，第一季的折舊率將上升約 5%，第二季之後，按照我們預先規劃的折舊率，折舊率將會上升得更快。其中略多於一半的是今年上半年。

Okay, that's great. Thanks very much.

好的，太好了。非常感謝。

All right, this concludes our Q&A session. Thank you for joining us today. We hope you will join us again next quarter. Goodbye.

好的，我們的問答環節到此結束。感謝您今天加入我們。我們希望您下個季度能再次加入我們。再見。

Thank you. Before we conclude TSMC's 4Q '11 results webcast conference call today, please be advised that the replay of the conference call will only be accessible through TSMC's website, at www.tsmc.com. Thank you all and you may all disconnect.

謝謝。在我們今天結束台積電 2011 年第四季業績網路電話會議之前，請注意，該電話會議的重播只能透過台積電網站 www.tsmc.com 存取。謝謝大家，你們可以斷開連結了。