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Full 65nm production in China with 45nm to come later

According to a report at CNET, Intel is in the process of launching a new fabrication facility in China. The new facility will focus on producing multi-core processors at the 65nm level. Inside sources were unable to give exact details on date and costs of the facility, but considering previous facility projects, the new plant is estimated to cost Intel roughly $2.5 billion to $3.5 billion USD. Just several years ago, a full plant would cost Intel nearly $5 billion.

Intel already has an established presence throughout China, making the new 65nm plant its third major operation in the country. Shanghai and Chengdu are two locations where Intel branches staff roughly 6,000 employees. CNET's sources indicated, however, that Intel would be making its China operation independent, thanks to the enormous market potential of China that is just second behind the U.S.

DailyTech previously reported that Intel was working on expanding its capacities in Vietnam, another hot region for tech companies. Although Intel's new plant investment will not be manufacturing actual processors, it would be contributing to such things as assembly and product testing.

While 65nm production levels out the mainstream, Intel announced near the end of 2006 that it will be introducing 45nm products sometime in the second half of 2007. The company announced not just one, but two fabrication facilities, capable of producing 45nm products.

Intel's Fab 32 in Arizona will be its first full facility in the U.S. in a long time and it will also be launching Fab 28 in Israel in 2008. Intel currently has over 15 products in development that will be manufactured at 45nm, but the company mentioned that until 2008 arrives, 65nm will be a key stage in processor and silicon development.


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More on Intel
By crystal clear on 1/16/2007 12:39:33 AM , Rating: 2
Intel to close Jerusalem fab
Intel may also sell Fab 18 in Kiryat Gat.
Shmulik Shelah 15 Jan 07 16:45
Intel Corp. (Nasdaq:INTC) is about to make major changes in its deployment in Israel. Sources inform ''Globes'' that that the company will announce within a few days the sale of its flash memory activity at the Kiryat Gat fab, and the closing of its fab in Jerusalem. An Intel Israel spokesman said in response that the company did not respond to rumors.
Intel’s flash memory activity includes several production lines, one of the most of important of which is at Fab 18 in Kiryat Gat, which employs 3,500 people. Sony Ericsson Mobile Communications is reportedly involved in the deal for the fab, either as a buyer or as an investor in partnership with a private equity fund. If the flash memory activity is sold in full, the price tag will be around $1.5 billion, on the basis of operating performance only, and excluding debts and deficits.

http://www.globes.co.il/serveen/






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