By the fourth quarter of 2006, Chartered had managed to push its break-even utilization rate down to 70 percent, compared with 75 percent in 2005, while in the midst of a less-than-favorable pricing environment. The CEO cited a range of factors behind the company’s ability to squeeze more revenue out of its factories, including the improved economies of scale brought in by its 12-inch facility, Fab 7, and the fast pace of its ramp at the plant. The company’s efforts to develop a “common platform” with partners IBM Corp. and Samsung were going “very well.” The expected qualification of the companies’ jointly developed 45-nanometer low-power process in late 2007 will be “another big new step in closing the technology gap,” he said.

By the fourth quarter of 2006, Chartered had managed to push its break-even utilization rate down to 70 percent, compared with 75 percent in 2005, while in the midst of a less-than-favorable pricing environment. The CEO cited a range of factors behind the company’s ability to squeeze more revenue out of its factories, including the improved economies of scale brought in by its 12-inch facility, Fab 7, and the fast pace of its ramp at the plant. The company’s efforts to develop a “common platform” with partners IBM Corp. and Samsung were going “very well.” The expected qualification of the companies’ jointly developed 45-nanometer low-power process in late 2007 will be “another big new step in closing the technology gap,” he said.