TSMC inks development deal with SVTC

By Colleen Taylor, Contributing Editor -- Electronic News, 5/30/2007

Moving on after its split from former owner Cypress Semiconductor, San Jose-based process development foundry Silicon Valley Technology Center (SVTC) has emerged with a revised moniker, a revamped management team, and a new high-profile development deal.

Under the name SVTC Technologies, the foundry today announced a strategic technology incubation program with leading chip foundry Taiwan Semiconductor Manufacturing Company (TSMC). The partnership’s aim is to encourage the development of silicon ideas in SVTC's independent fab environment to "streamline the potential transfer" of newly developed silicon technology from concept to manufacturing.

Financial terms of the deal have not been disclosed.

"There are more and more applications in the semiconductor industry being developed which use novel structures and new materials," Dave Bergeron, SVTC Technologies' CEO, said in a statement. "SVTC is uniquely placed in the emerging value chain to help semiconductor development teams from both fabless and integrated device manufacturers to fully develop their new concepts before taking them into volume production.  We are especially pleased to work with TSMC as our foundry partner in the commercialization of these new concepts."

"This strategic alliance expands the TSMC ecosystem to enable more innovations by allowing companies, especially those who need special equipment, to develop products at SVTC and transfer accepted business smoothly to TSMC manufacturing," Ken Chen, director of mainstream technology marketing at TSMC, added in the statement.

It has been a busy year thus far for SVTC. In January, Cypress Semiconductor announced its plans to sell SVTC to private equity firms Oak Hill Capital Partners and Tallwood Venture Capital for approximately $53 million in cash. In the transaction, Cypress transferred substantially all equipment, process technologies and personnel associated with its SVTC business to the buyers.

The deal was closed in March, at which time Bergeron, who recently served as executive-in-residence at Tallwood Ventures, was named CEO. Bert Bruggeman, who developed the SVTC business model, became SVTC's VP of operations and general manager, and former NXP exec Scott Marquardt joined the company in the role of VP of sales, marketing and strategic business development. Along with the new executive slate, the company has increased its workforce by some 15 percent since the switch in ownership.