Specialty foundry Tower Semiconductors Ltd. (Nasdaq: TSEM; TASE: TSEM), which trades under the name TowerJazz, and RFID solutions provider Tego Inc. will jointly produce a second-generation RFID chip for European aircraft manufacturer Airbus. Airbus will use the TegoChip, a high-memory passive chip, produced with TowerJazz 180-nanometer process, for the new A350 XWB fleet.
The TegoChip will tag more than 1,500 pressurized and non-pressurized parts and components on the Airbus A350 XWB aircraft fleet to improve maintenance, warehouse logistics, and other processes.
Gartner Group estimates that global RFID revenue will reach $3.5 billion by 2012. Tego is leading the definition of memory structure for extended memory RFID tags for the Air Transport Association.
Tego president and CEO Timothy Butler said, “We chose to partner with TowerJazz for their expertise and long-term commitment to developing process technologies and IP for RFID applications and because they are a proven silicon provider of low power, non-volatile memory for harsh environments."
TowerJazz's share price closed at $1.59 on Nasdaq yesterday, and jumped 6.9% in after-hours trading to $1.70. The share price rose 2.9% by midday on the TASE today to NIS 6.05.
Published by Globes [online], Israel business news - www.globes-online.com - on April 14, 2010
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