Pure-play foundries are gearing up for robust demand for mature and specialty node processes, with many of them planning 8-inch fab capacity expansions.

Not only second-tier foundries but also first-tier players including TSMC and Samsung have plans to build additional 8-inch fab capacities to vie for more orders and businesses from the automotive electronics and IoT sectors, according to industry sources.

TSMC disclosed previously plans to set up a new 8-inch plant at its factory site in southern Taiwan to satisfy robust demand for specialty process technologies. Samsung has also moved to enhance its 8-inch fabrication services to include those for IoT and fingerprint sensor solutions. Their increased focus on 8-inch foundry offerings has already posed a threat to their smaller foundry peers.

On the other hand, Globalfoundries has put its focus on 12/14nm FinFET and 12/22nm FD-SOI process technologies designed specifically for power-optimized solutions, and recently announced the sale of one of its 8-inch fabs. The foundry claimed the move is to consolidate its 8-inch operations in Singapore into one campus as part of the company's strategy to streamline its global manufacturing footprint.

Both United Microelectronics (UMC) and Vanguard International Semiconductor (VIS) are actively moving to expand capacities at their 8-inch fabs. UMC is on track to expand production capacity at its 8-inch fabs including one operated by its China-based subsidiary HeJian Technology (Suzhou), while VIS announced recently plans to acquire an 8-inch fab from Globalfoundries that will boost VIS's overall fab capacity by about 35,000 8-inch wafers monthly.