AMD's Fab 36 - Image Courtesy AMD
Maximized production capacity and 65nm production expansion

AMD has announced it will be investing $2.5B USD to transform the existing 200mm wafer Fab 30 to produce 300mm wafers. The transformed facility will be named Fab 38. Moving from 200mm to 300mm wafers allows AMD to produce more than twice as many processors per wafer. Furthermore, Fab 36 will lose its clean room facility in exchange for greater production capacity. A new separate clean room facility will be built leaving Fab 36 to maximize production capabilities.

"As global demand continues to rise for AMD products, we are scaling our manufacturing capacity intelligently to meet our customers' growing needs," said Hector Ruiz, chairman of the board and chief executive officer of AMD. "To achieve this, we are pursuing an aggressive path to invest in and expand our top-rated manufacturing capabilities in Dresden. These strategic investments highlight how significant Germany and Europe are to the future of AMD competitiveness. We expect that AMD’s momentum and demand for our products will continue to increase, fueled by our technology leadership, our commitment to customer-centric innovation and the continuing global antitrust scrutiny that will ensure truly competitive markets."

$2.5B is less than half of what AMD is expected to invest into the Dresden facilities over the next three years, though the $2.5B only covers plans into 2007. AMD is expected to start producing 65nm “Brisbane” processors at Fab 36 with a majority shift towards 65nm production by mid-2007. The 65nm processors are expected to make an appearance in December 2006.

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