CPU manufacturer Advanced Micro Devices just renewed its silicon-on-insulator contract with Soitec for the 2006 calendar year. AMD uses Soitec's wafers for its 90nm Athlon 64, Opteron, Turion and Sempron processors. The contract, for $150 million USD, is triple the size of AMD's 2005 contract.

A threefold increase in SOI demand for AMD bodes well about the company's expectations for 2006. However, Soitec has been under legal pressure lately from rival wafer companies on charges of patent infrigement. Additional legal problems for Soitec could give AMD serious supply problems as AMD is now heavily reliant on Soitec's wafers.

This news article was written on January 17, 2006, quoting EETimes.