In the beginning, there were no specialized fabs where semiconductor wafers were made. As such, production was limited in size and had big price tags. This is the reason the first foundries came to be, as making more and cheaper electronic components was required to satisfy the growing demand seen since the 1970s and 1980s.

In the 1980s, most semiconductor companies owned and operated their own foundries. As such, there were no semiconductor companies that didn’t own their own fabs since there would be no way for them to manufacture their designs.