Reference no: EM13225857
A semiconductor company has the following costs associated with Product X:
- Fixed cost of $1B ($1,000,000,000)
- Die cost of $6 at a die yield of 50%
- Testing and packaging cost of $3 per die
- A final test yield of 90% with a product volume of 500M (500,000,000) chips
a) What is the cost per IC (considering both fixed and variable costs)?
b) Suppose that you are a strategic planner for this company and you need to reduce the cost to make profit. Which one is a better strategy?
Strategy 1: Reduce the fixed operating cost by 10%, i.e., by $100,000,000, with a potential reduction in volume which is negligible.
Strategy 2: Spend an extra Research and Development cost of $200,000,000 to improve the die yield from 50% to 75%.
Consider a 2-input NOR gate. Is the (i) fall time and (b) rise time the same for all combinations of inputs?
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: A semiconductor company has the following costs associated with Product X: - Fixed cost of $1B ($1,000,000,000) - Die cost of $6 at a die yield of 50% - Testing and packaging cost of $3 per die - A final test yield of 90% with a product volume of 500..
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