Dr. Morris Chang

Well, I decided to... give the CEO job to a potential successor of mine while I will still retain the chairmanship. In Taiwan, usually the chairman is the top man anyway, even though CEO is another person. So the problem you just mentioned happened during the period when someone else was the CEO. Apparently, it was a manufacturing problem. It was also a quality problem.

Well, I decided to... give the CEO job to a potential successor of mine while I will still retain the chairmanship. In Taiwan, usually the chairman is the top man anyway, even though CEO is another person. So the problem you just mentioned happened during the period when someone else was the CEO. Apparently, it was a manufacturing problem. It was also a quality problem.

And it was the quality problem that the CEO first reported to me. But the CEO insisted that our people... We had the Director of Quality insist that we were not, TSMC was not at fault. And so on that basis, on the basis of our quality manager's arguments, he had not offered NVIDIA anything.

And it was the quality problem that the CEO first reported to me. But the CEO insisted that our people... We had the Director of Quality insist that we were not, TSMC was not at fault. And so on that basis, on the basis of our quality manager's arguments, he had not offered NVIDIA anything.

Now, as far as the manufacturing problem was concerned, it was a U problem, and everybody was suffering from it. And of course, NVIDIA at that time was perhaps the biggest customer of that node, the 40 nanometer node.

Now, as far as the manufacturing problem was concerned, it was a U problem, and everybody was suffering from it. And of course, NVIDIA at that time was perhaps the biggest customer of that node, the 40 nanometer node.

But the problem apparently just continued. And I was, even though I was not the CEO of I was getting a little impatient. And then, of course, some other problems popped up. Other problems than this 40 nanometer NVIDIA problem. So I decided to take the CO position back. So in 2009, I did that. And there were several problems. priority problems that I had to deal with when I took the CEO job back.

But the problem apparently just continued. And I was, even though I was not the CEO of I was getting a little impatient. And then, of course, some other problems popped up. Other problems than this 40 nanometer NVIDIA problem. So I decided to take the CO position back. So in 2009, I did that. And there were several problems. priority problems that I had to deal with when I took the CEO job back.

And one of them was this continuing problem, continuing argument, controversy with NVIDIA. Anyway, I remember in the first few days after I took back the CEO's ship, I called all the major customers, including Jensen.

And one of them was this continuing problem, continuing argument, controversy with NVIDIA. Anyway, I remember in the first few days after I took back the CEO's ship, I called all the major customers, including Jensen.

Oh, yeah. Qualcomm was also, yeah. And Qualcomm, the top customers didn't change very much since then, except for maybe one. Apple. Apple, yeah. Apple came later, yeah. And in my call with Jensen, he was still very friendly with me. But he also reminded me in a very serious tone that we had the quality delivery manufacturing problem on the 40 nanometer.

Oh, yeah. Qualcomm was also, yeah. And Qualcomm, the top customers didn't change very much since then, except for maybe one. Apple. Apple, yeah. Apple came later, yeah. And in my call with Jensen, he was still very friendly with me. But he also reminded me in a very serious tone that we had the quality delivery manufacturing problem on the 40 nanometer.

All right, so I said I knew that, and it's one of my priority problems. Give me a couple weeks, and I will get back with you. And as I said, I did have several problems aside from the 40-nanometer problem. manufacturing problem and the problem with the argument that we were having with Nvidia. Aside from that, we also had the problem of the pricing. It was dropping faster than the cost.

All right, so I said I knew that, and it's one of my priority problems. Give me a couple weeks, and I will get back with you. And as I said, I did have several problems aside from the 40-nanometer problem. manufacturing problem and the problem with the argument that we were having with Nvidia. Aside from that, we also had the problem of the pricing. It was dropping faster than the cost.

I mean, you don't want to see that. The gross margin percentage kept dropping.

I mean, you don't want to see that. The gross margin percentage kept dropping.

All right, so that was one problem. Another problem was the immediate one that triggered me to retake the CEO-ship because the previous CEO had laid off, except he didn't use the term lay off, you know. He used the bad performance review, the worst performance review people, and there were about 600 or 700 of them. And he laid them off on the basis of their poor performance review.

All right, so that was one problem. Another problem was the immediate one that triggered me to retake the CEO-ship because the previous CEO had laid off, except he didn't use the term lay off, you know. He used the bad performance review, the worst performance review people, and there were about 600 or 700 of them. And he laid them off on the basis of their poor performance review.

Well, we never did that, you know. I mean, the worst we would do was to put them on, place them on probation for six months. And quite often, you know, at the end of the six months, everybody would go back to his or her old job. And some of them would get... transferred because they were in the wrong jobs, you know. So some of them would get transferred.

Well, we never did that, you know. I mean, the worst we would do was to put them on, place them on probation for six months. And quite often, you know, at the end of the six months, everybody would go back to his or her old job. And some of them would get... transferred because they were in the wrong jobs, you know. So some of them would get transferred.