Why Qualcomm Picked Taiwan Over US

choi

Jeffry Bartash, Why Qualcomm Picked Taiwan Over US; Other nations pursue business more aggressively, executives say. MarketWatch, Feb 6, 2013.
http://www.marketwatch.com/story ... -over-us-2013-02-06

Quote:

(a0 "When Qualcomm looked to build a multi-billion-dollar chipmaking plant several years ago, a bunch of countries offered incentives to win over the San Diego-based company.

"The United States?

“'Nothing,' said Greg Farmer, the company’s vice president of government affairs.

"Qualcomm, whose chips are used in millions of cell phones, built the plant in Taiwan instead.

(b) "Had a territorial tax system been in place a few years ago, Qualcomm’s Farmer said the company would have given greater thought to building its new chipmaking plant in the United States. Taiwan still may have won out, but the U.S. would have been a more serious contender if Qualcomm didn’t have to pay a 35% tax to bring surplus cash home from overseas.

My comment:
(a) MarketWatch is a brand of Dow JOnes.
(b) I did not know Qualcomm had established or was planning a chip plant in Taiwan. Upon reading the report, I googled, and found nothing. That is about right, as Qualcomm is a fabless designer. That is why it was reported on Aug 29, 2012 that Taiwan Semiconductor Manufacturing Co (TSMC) spurned Apple's and Qualcomm's bids for exclusive supplies.
(c) If by "chipmaking plant," the report meant Mirasol display plant, see Qualcomm To Build Plant In Taiwan. Associated Press, Jan 3, 2011
http://www.vcstar.com/news/2011/ ... el-plant-in-taiwan/
, the expeeriment was quietly folded half a year ago.