A Chinese publication claimed that Taiwanese foundry TSMC will be given a franchise to make CPUs at 40 nanometres by American company Advanced Micro Devices (AMD).

That is going to start happening from the second quarter of 2009, according to China Knowledge.

The site quotes one Jason Chen from TSMC to the effect the foundry is raising its prices to boost its profitability, although this comment may or may not be related to such a deal with AMD, if such a deal with AMD has indeed been inked.

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