Study On The Development Patterns And Spatial Diffusion Of IC Industry In Taiwan

IC industry is a high-tech, high-benefic and high-risk industry. Its technology is the core of modern science and technology. The development of IC industry always stands for the modernization level of countries and regions. IC industry in Taiwan has grown for more than thirty years. It plays a great status on the world IC industry and makes great efforts to get more and more achievement. The development of IC industry also promotes other relational industries, and the competitive power of Taiwan reinforced by these progresses. Nowadays, Asia Pacific has become the important part of world economy, and Taiwan has played a influential role in this situation. So the study on the IC industry development of Taiwan will become a significant task. Its development patterns evolvement can offer plenty experiences to IC industry in Mainland China and its spatial diffusion influences Mainland China IC industry deeply.This paper contains four parts and total eight chapters.The first part consists of Chapter One, Chapter Two and Chapter Three.Chapter One mainly introduces the background and meaning of the paper and makes clear the research object and its characters. Then the research method and frame are put forward, some innovation and deficiency are listed.In Chapter Two, based on some correlative theories such as lifecycle theory, learning curve theory and the global value chain theory, the author reviews the historical and current research to IC industry, and summarizes some opinion of different genres.Chapter Three retrospects the development course of IC industry in the world. The article clarifies the development rule and particularities of IC industry. Some cases of representative countries and regions become the demonstration. The course of IC industry development can be divided into three phases. In the first phase IC industry mainly focused on the manufacture and machining. In the second phase, the foundry and fabless companies grew up. In the third phase, IC industry was disassembled to four special industries. The development cycle of IC industry are protracted to some sketch maps and used to analyze the internal rule of the industry. There are four development trends in the IC industry such as the trend of industry conformity, the trend of corporations' decision-making, the trend of market variance and the trend of spatial transfer.The second part consists of Chapter Four and Chapter Five.Chapter Four tries to discuss the IC industry development background in Taiwan. The IC industry of Taiwan goes ahead by the drive force from the science and technology policy. And the developments of high-tech industry also promote it. The course of Taiwan IC industry can be separate by different phases and current phase is the second transfer phase of industry and entirely building phase of industry system. There is great potential space in Taiwan IC industry. Some excellent enterprises are listed after the general analysis of whole industry.Chapter Five focuses on the development patterns of IC industry. IC industry has variational development patterns on different stages. From the seventies of the twentieth century the patters evoluted from System House Pattern, Integrated Device Manufacturing Pattern and Fabless&Foundry Pattern to Fabless&Fab-lite Pattern which was influence by the technological reformation of System-on-Chip. In the future, Clustered Virtual Vertical Integration Pattern will come true in a way. The evolution of patterns means the continual subsection and deepening of the IC industry clusters. And it will push the separate chains into linear connection and lead to circular cooperation finally.The IC industry in Taiwan was started off with the OEM mode, and embedded into the whole industry net by the roles of Wafer Foundry and ODM. It was participated in the production with different patterns such as IDM, Fabless&Foundry and Virtual Integration. Taking the case of TSMC, UMC and VIA companies, the development patterns of IC industry in Taiwan are proved again. The third part is Chapter Six of this paper.Chapter Six discusses on the spatial diffusion of IC industry in Taiwan. It is diffused from the Taiwan island to the whole world and mostly points to Mainland China. The diffusion rooted in Hsinchu Science Park of Taiwan and a majority of manufacturer centralizes around it. Based on three influential factors, the location of Taiwan IC industry has high particularity. The IC manufacturers make decisions gingerly on the investment and location. Compared to other industries, once new manufactory of IC industry is located, it will hardly ever transfer. In the spatial diffusion process of Taiwan IC industry, Taiwan's IC enterprises meet a lot of problems. They elude and overcome these obstructions by variety means.The last part consists of Chapter Seven and Chapter Eight.Chapter Seven discusses on the influence and illumination of Taiwan IC industry to Mainland China. IC industry of Mainland China has grown for some years and meets several serious challenges. The experience of Taiwan IC industry can be used for reference to help Mainland China. The division and cooperation of work will be the best situation of whole China IC industry development.Chapter Eight is the conclusion to the study. The author summarizes main discoveries of this article and raises some potential directions of future research.