TSMC never actually improved their 40nm yields, they just said they had. This has led to a huge shortage of 5800 series cards.
Why would TSMC say that it had improved? The answer is, they need to be seen as getting on top of the issue. Big company, lots of cash, lets pretend it's ok and take a monetary hit in order to save our reputation.
Only problem is, the yields are *still* awful, and nobody can get a 5800 series card still. Orders increased a lot, so much that 40nm went from 1% to 4% of TSMC's total revenue in Q2. They said that they expected 40nm orders to make up 10% of Q3 revenue. They were right - the ORDERS went in - there is just no product to be shown because they cant make these chips reliably. Both Nvidia and ATI cut back hugely on 55nm orders because TSMC told them that they had fixed the issues at 40nm...but it doesn't look like it to me.
Nvidia's Fermi can forget it btw - its far too big to even have a chance on this crappy 40nm process. They might get 4-5 chips per wafer...that cannot be worth it ever. I hate nvidia I really do but I'm not just saying this out of my dislike for the company - it's just not possible that Nvidia can make money on a huge die on such a terrible process.
Why would TSMC say that it had improved? The answer is, they need to be seen as getting on top of the issue. Big company, lots of cash, lets pretend it's ok and take a monetary hit in order to save our reputation.
Only problem is, the yields are *still* awful, and nobody can get a 5800 series card still. Orders increased a lot, so much that 40nm went from 1% to 4% of TSMC's total revenue in Q2. They said that they expected 40nm orders to make up 10% of Q3 revenue. They were right - the ORDERS went in - there is just no product to be shown because they cant make these chips reliably. Both Nvidia and ATI cut back hugely on 55nm orders because TSMC told them that they had fixed the issues at 40nm...but it doesn't look like it to me.
Nvidia's Fermi can forget it btw - its far too big to even have a chance on this crappy 40nm process. They might get 4-5 chips per wafer...that cannot be worth it ever. I hate nvidia I really do but I'm not just saying this out of my dislike for the company - it's just not possible that Nvidia can make money on a huge die on such a terrible process.