TSMC has said it won't start using three-dimensional transistors to produce semiconductors before the capacity of 2D chips reaches its limit, adding the infrastructure for the next generation of transistors is still "immature."

Microsoft has confirmed that it has agreed to buy Internet phone service Skype. The deal will see Microsoft pay US$8.5 billion for Skype, making it Microsoft's largest acquisition.

Globalfoundries is believed to be working on similar technology but is about two years behind Intel to bring it into the shops. However the outfit does not seem to be in any hurry.

Suntech Power Holdings Co. Ltd. and First Solar Inc., the world's top solar panel suppliers, warned Monday that potential cuts in European government subsidies for solar power could lead to both lower demand and prices for their products, a combination that could hit their bottom lines.

ARM expects to "compete at a consistently high level" in the mobile device market despite the news that rival Intel has a new process for making chips that could prove to be attractive to makers of tablets, smartphones and other similar devices.

The operator of Japan's crippled Fukushima Daiichi nuclear plant has asked the government for help compensating victims of the crisis.

Microsoft is close to a deal to buy Internet phone company Skype Technologies for between US$7 billion and US$8 billion, according to people familiar with the matter, adding that the deal could be announced as early as Tuesday.

Smartphone vendors shipped a total of 99.6 million units in the first quarter of 2011, nearly double from 55.4 million units a year ago.

Cree is announced to make a breakthrough on the record of 231 lumens per watt for a white power LED.

HTC, Samsung, LG, Motorola and Sony Ericsson drove Android shipments in the first quarter, with each vendor shipping well over three million devices, said Canalys Principal Analyst Pete Cunningham.

Broadcom announced that it has signed a definitive agreement to acquire SC Square, security software developer based in Israel.

As part of the investment volume planned for the 2011 fiscal year, Infineon Technologies is investing about Euro 198 million in production capacity expansion and in R&D in Austria. Infineon intends to create 400 jobs in Austria in the course of this fiscal year.

Toshiba has said it returned to the black for the year to March 2011, but warned the outlook remains uncertain due to the impact of the massive quake and tsunami in Japan.

Semiconductor company Rubicon Technology, Inc. (RBCN: News ) reported Thursday a profit for the first quarter that climbed from last year, boosted by strong margin expansion and revenue growth amid strong demand.

Startup chip design company Adapteva has announced the multicore Epiphany processor, which is designed to accelerate applications in servers and low-power devices such as smartphones and tablets.

Applied Materials's US$4.9 billion purchase of Varian Semiconductor may trigger a round of acquisitions in the chip-machinery industry, making companies such as Novellus Systems possible targets.

Samsung Electronics shares are poised to drop amid increased competition and the possible loss of orders from Apple, BGC Partners said, recommending a so-called short sale of the stock.

n early March, China's National People's Congress approved its 12th Five-Year Plan (2011-2015). This plan is likely to go down in history as one of China's boldest strategic initiatives. In essence, it will change the character of China's economic model -- moving from the export- and investment-led structure of the past 30 years toward a pattern of growth that is driven increasingly by Chinese consumers. This shift will have profound implications for China, the rest of Asia, and the broader global economy.

Applied Materials and Varian Semiconductor Equipment Associates have announced the signing of a definitive merger agreement under which Applied will acquire Varian for US$63 per share in cash. The acquisition will extend Applied's leadership in wafer fabrication equipment with the addition of the technology leader in ion implantation.