Silicon AnalyticaGlossary · Manufacturing
What is a wafer?
A wafer is a thin, round slice of highly purified silicon on which chips are built. Many chips are made side by side on each wafer before it is cut into individual dies.
Why it matters for investors
Chipmakers often describe capacity and output in wafers per month, and foundries frequently price their services per wafer. Wafer shipments from silicon suppliers are an early indicator of manufacturing activity.
Most advanced production uses wafers 300 millimetres in diameter. Wafer size, material and quality affect how many usable chips each wafer produces.
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General educational explanation. Information only, not investment advice.