The planned next generation graphics parts from AMD/ATI, known as Northern Islands, was initially designed to be manufactured on Taiwan Semiconductor Manufacturing Company’s (TSMC) 32nm process. Since the late 2009 announcement that TSMC was facing difficulties with its 32nm manufacturing node and would not be developing the process, plans had to change at AMD. Sources close to both companies indicate that the revised upcoming generation of graphics cards will most likely be made for the Taiwanese manufacturer’s established 40nm process and will feature design elements from both Northern Islands and Evergreen architectures.
Problems encountered by the main manufacturer of AMD graphics chips, TSMC, are likely responsible for this decision. Since it has been decided by TSMC to pull its 32nm process, the company also had to make changes to their initial approach at 28nm, resulting in more delays and uncertainty in the manufacturing schedule.