Taiwan Semiconductor Manufacturing (TSMC) chairman and chief executive officer (CEO), Morris Chang, will give up his role as CEO of the company on July 1.
TSMC's president and chief operating officer, Rick Tsai, will replace Chang as CEO. Tsai will keep the title of TSMC president while Chang will continue in his role as chairman of the Taiwanese chipmaker.
In another management change at the company, deputy CEO F.C. Tseng will take on the role of vice-chairman, TSMC said.
As CEO of TSMC, the world's largest contract chipmaker, Tsai would take on day-to-day responsibility for the business and strategic direction of the company, reporting directly to Chang, the company said.
Chang is one of the best-known and most respected technology executives in Taiwan and is widely credited with developing the contract manufacturing business model for semiconductors. He has served as head of TSMC since the company was established in 1987.
TSMC said Tsai's appointment to the CEO position is part of the company's long-term plans to hand over management to the next generation of executives.
Tsai had proven his ability to lead the company in recent years, and Chang decided it was time for him to take over as CEO, the company said. He has held a variety of top positions at TSMC since joining the company in 1989, including executive vice-president of worldwide marketing and sales and executive vic- president of operations.
Before he joined TSMC, Tsai worked for eight years at the semiconductor division of HP.