THE FORMATION PROCESS OF TAIWAN IC INDUSTRY - METHOD OF TECHNOLOGY-TRANSFER

This article studies the formation process of Taiwan's integrated circ uit (IC) industry, which in 1973 consisted of assembly plants only but has since grown to comprise a complete industry infrastructure, inclu ding design, mask, fabrication, and assembly capabilities. Taiwan's IC industry was formed in the following way: IC technology, strategicall y selected by the government, was introduced from RCA of the USA by th e Industrial Technology Research Institute (ITRI) and then transferred to the industrial sector after being assimilated and improved. This a rticle describes the formation process, including the selection of the IC industry as a target industry, the introduction of foreign technol ogy, the assimilation and improvement of the introduced technology, an d the transfer of this technology to local industry. Through a process of introducing, developing and disseminating technology, Taiwan's IC industry was established.