Apple chipmaker TSMC recovers after virus cripples manufacturing line

Apple chipmaker TSMC recovers after virus cripples manufacturing line

Apple chipmaker TSMC recovers after virus cripples manufacturing line

Apple supplier, Taiwan Semiconductor Manufacturing Co. had to close several of its factories last night after a computer virus affected the systems. The degree of infection is said to vary per facility, with some returning to operation after only a day, while others will remain offline until sometime on Sunday.

TSMC said that 80 percent of the fabrication tools affected by a virus outbreak Friday evening had been restored and that it expects full recovery on Monday.

Most of TSMC's customers have been notified of this event, and the Company is working closely with customers on their wafer delivery schedule.

"The Company is confident shipments delayed in third quarter will be recovered in the fourth quarter 2018, and maintains its forecast of high single-digit revenue growth for 2018 in United States dollars given on July 19, 2018", TSMC said.

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"The company is confident shipments delayed in third quarter will be recovered in the fourth quarter 2018, and maintains its forecast of high single-digit revenue growth for 2018 in USA dollars given on July 19, 2018", it added.

TSMC previously said about 10% of its revenues would be generated from its most-advanced 7nm process technology in the third quarter of 2018, and the proportion would reach 20% in the fourth quarter, with an over 20% in all of 2018.

"TSMC has been attacked by viruses before, but this is the first time a virus attack has affected our production lines", company CFO Lora Ho told Bloomberg.

While purely speculation until such time as TSMC comments, speculation points to the company getting hit, intentionally or unintentionally, by a ransomware attack.

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Apple is said to be ramping up production of three new iPhone models for this fall, banking on them to continue its recent sales momentum.

Aside from this issue, both Apple and TSMC are having a good year, with Apple boasting a market value in excess of $1 trillion.

Updated on August 5 with additional information from TSMC.

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