The contracts make Atheros one of the main customers for Tower’s Fab 2 output, generating tens of millions of dollars in revenue a year.
Tower Semiconductor Ltd. (Nasdaq: TSEM; TASE: TSEM) will produce RF on standard digital CMOS, wireless LAN 802.11g processors for Atheros Communications Inc. (NASDAQ: ATHR). Tower will produce the processors with 0.18-micron technology at its Fab 2. The new contract comes one year after Atheros first became a Tower customer.
Tower did not disclose the size of the contract, but market sources estimate that the company will earn millions of dollars a year from the production of processors for Atheros. The two contracts make Atheros one of the main customers for Tower’s Fab 2 output, generating tens of millions of dollars in revenue a year.
Published by Globes [online], Israel business news - www.globes.co.il - on September 18, 2006
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