Chipbond Technology and Fupo Electronics will be diversifying into gold bumping for LED chips from their core LCD driver IC gold bumping. This diversification is to minimize business risk when the LCD industry hits a downturn. Downturns in the LCD industry happens on a regular basis due to over expansion of capacity that results in price collapse. The price collapse lead to greater demand and the cycle starts again.
Gold Bump Structure (Source: Casio Micronics)
Gold Bump On-Pad Type Structure (Source: Casio Micronics)
Chipbond developed its own gold bumping technology for LED packages and started pilot test runs for white LED packages in March 2006. Currently, production is limited, but Chipbond expects to start volume production around March 2007. Fupo formed a strategic partnership with Taiwan Oasis Technology, which owns 40% of Fupo. The partnership between Fupo and Taiwan Oasis will help Fupo achieve break even by the end of 2006.