TAIPEI (Taiwan News) — Singapore-based VisionPower Semiconductor Corporation (VSMC) announced Wednesday (June 26) its approval to acquire technology licenses from Taiwan Semiconductor Manufacturing Company (TSMC) for NT$4.8 billion (US$150 million).

VSMC will obtain licenses for seven technologies, ranging from 130nm (nanometer) to 40nm, per CNA. In addition to the licensing fee, VSMC will be required to pay royalties based on future revenue generated from using the technology, per UDN.

VSMC said it will use the license to support the needs of the automotive and electronics industries.

According to a VIS press release, VSMC is a joint venture between Taiwan’s Vanguard International Semiconductor Corporation (VIS) and the Netherlands’ NXP Semiconductors in Singapore. The cooperation is slated to produce a 300mm wafer fab in Singapore and create 1,500 jobs.

The joint venture’s first fab is expected to start construction in the second half of this year and start mass production in 2027.