The Singapore dollar will strengthen 2.1% to S$1.41 over the next 12 months, and Taiwan's dollar will gain 4.4%to NT$31.5, economists led by Hong Kong-based Michael Buchanan wrote in a report.

Novellus Systems narrowed the range of its expected third-quarter per-share loss to US$0.09 to break-even, from US$0.15 to break-even, as conditions in the semiconductor sector continue to improve.

The antitrust trial between memory chip designer Rambus and several chip makers, including Micron Technology, has been postponed, according to reports.

A new Microelectronics Innovation Center is being formed at the Université de Sherbrooke in Bromont, Québec, to focus on 200mm MEMS and 3D wafer-level packaging, and advanced technologies associated with the assembly and packaging of silicon chips.

Hitachi researchers have developed a method to form cavities in the interconnect layers of CMOS ICs, allowing MEMS sensors to be created in the wiring layers.

"The third quarter will be better from the previous quarter as chip prices are in the normalization stages after a years-long slump," said Kwon Oh-hyun, president of Samsung's chip division.

South Korea's Samsung Electronics said in a disclosure that it is no longer pursuing a plan to purchase SanDisk.

Freescale Semiconductor plans to transfer its 3G cellular IP to Beijing Capital Semiconductor in a deal valued at US$30-40 million, according to a market analyst.

Mitsubishi Electric and industrial design company IHI are now teaming up in the race to develop new technology within four years that can beam electricity back to Earth without the use of cables.