NXP Semiconductors, one of Europe’s largest chip makers, has decided to drop out of a multiyear research alliance and plans to work more closely with Taiwan Semiconductor Manufacturing (TSMC), the Dutch company said Tuesday.NXP, the former semiconductor division of electronics giant Koninklijke Philips Electronics, cited a desire to forge a new path for its future development of chip production technologies as its reason for opting out of the Crolles2 Alliance, which included other major chip makers such as TSMC, STMicroelectronics and Freescale Semiconductor.Philips and STMicro started the venture with TSMC in 2000 as a way to share the cost of developing advanced chip-production technologies, and renewed the alliance in 2002 when Freescale joined. The group will dissolve the partnership after it completes its current technology project, 45-nanometer production technology, NXP said in a statement.The alliance was formed at a time when companies were concerned about the rising cost of chip development. Several such alliances were forged, including one among IBM, Chartered Semiconductor Manufacturing, Infineon Technologies and Samsung Electronics. The latter partnership remains intact. In a separate statement, NXP said it will strengthen its relationship with TSMC, partnering more closely on advanced research in chip-manufacturing technologies. NXP will also put more emphasis on its outsourcing pact, farming out more chip production to TSMC so it can focus on chip design.Philips was an original investor in TSMC, when the Taiwanese powerhouse was just a startup. The two companies have maintained a close relationship ever since, and Philips still holds a large share of TSMC stock, as well as a major stake in NXP. TSMC is the world’s largest contract chip manufacturer.-Dan Nystedt, IDG News Service (Taipei Bureau)Check out our CIO News Alerts and Tech Informer pages for more updated news coverage. Related content BrandPost Stay in Control of Your Data with a Secure and Compliant Sovereign Cloud By Stan Kwong Mar 23, 2023 6 mins Cloud Security Cloud Computing News Accenture to lay off 19,000 to cut costs amid economic uncertainty Technology services giant Accenture will continue to hire but meanwhile is cutting staff to streamline operations in the face of economic headwinds. By Anirban Ghoshal Mar 23, 2023 2 mins IT Consulting Services Technology Industry BrandPost Advice from procurement: How to evaluate and propose new IT investments By clearly defining needs and requirements, evaluating TCO, and performing risk assessments, procurement and IT teams can work together to help their business leaders make more informed decisions for an improved bottom line. By Bo Bradshaw, Edgio Procurement Director Mar 23, 2023 5 mins SaaS BrandPost Why AI is key to hiring and retaining developers Data shows that the opportunity to build AI-powered apps figures very prominently in where developers decide to work. By Bryan Kirschner, Vice President, Strategy at DataStax Mar 23, 2023 4 mins Artificial Intelligence IT Leadership Podcasts Videos Resources Events SUBSCRIBE TO OUR NEWSLETTER From our editors straight to your inbox Get started by entering your email address below. Please enter a valid email address Subscribe