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Otellini unveils $7 billion Intel plan for 32nm

Chipping in for the US economy
Tuesday, 10 February 2009, 16:00

INTEL PRESIDENT AND CEO Paul Otellini has announced a two-year plan in which the firm will channel $7 billion into building more advanced manufacturing facilities in the US.

The cash will mainly go towards kick-starting Chipzilla's 32nm manufacturing technology and represents the firm's biggest investment ever in new manufacturing process tech.

Doing his bit fo' Amewica, Otellini pounded his chest patriotically, noting "We're investing in America to keep Intel and our nation at the forefront of innovation".

Talking about the new 32nm factories, Otellini said, "The chips they produce will become the basic building blocks of the digital world, generating economic returns far beyond our industry."

The first processors Intel will build on the 32nm technology are codenamed 'Westmere' and will initially be bunged into desktop and mobile mainstream systems. Westmere combines Intel's latest Nehalem micro-architecture with graphics capability integrated directly into the processor.

Intel's investment will go to existing manufacturing sites in Oregon, Arizona and New Mexico and will purportedly support about 7,000 high-wage, high-skill jobs.

Intel-fabs

Clockwise from top left: D1D Oregan now, D1C Oregon Q4 2009, Fab 11X New Mexico 2010, Fab 32 Arizona 2010

Intel, which has a 45,000 strong US workforce, gets over 75 per cent of its sales overseas but still manages to carry out about 75 per cent of its semiconductor manufacturing in the States. Three quarters of the firm's R&D spending and capital investments are likewise set aside for its US facilities. So when it comes to chips, Intel wants you to know it's making freedom, rather than French, fries.

Chipzilla reckons 32nm plans are coming along so well, it can even accelerate the Westmere production ramp beginning in 2009 and introduce even more 32nm products in 2010.

The company plans its first public demonstration of a Westmere processor in San Francisco today. So stay tuned. µ

 

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Comments
Haha

Ok, so Intel build all these fabs and probably creates about 10,000 jobs (which is a bit optimistic, perhaps). AMD dies and 16,000 folks lose their jobs. Haha.

posted by : ronch, 10 February 2009 Complain about this comment
Intel has their hand out

As usual Intel has their hand out looking for government PORK money to fund their proposed new facilities. Nothing new or patriotic here. When the PORK incentives dry up, they fire people and close the factory as they have done numerous times. SOS, DD.

posted by : Ollie, 10 February 2009 Complain about this comment
RE: Intel has their hand out

Ollie: What are you smoking? Intel is one of the few companies around who isn't using any government bailout. They've already invested their own money in this. Any government investment is in new technologies on the drawing board, not manufacturing, and was already applied for under previous administrations.

Intel has only recently closed factories, and it's as much about older, out of date fabs making old stuff, and not being worth it to tear them down and rebuild them.

AMD fanbois should find better, FACTUAL reasons to dump on Intel, there's enough that they HAVE done wrong as it is without making up more crap.

posted by : Redd, 10 February 2009 Complain about this comment
1.98 Billion & Up....

Intel will discuss in more detail a 45 nm 8-core "Enterprise" Xeon processor, which carries 2.3 billion transistors. The company said that it uses core cache shut-off techniques to minimize leakage, but a power consumption of 130 watts in such a scenario is certainly impressive nevertheless.Ahso, http://en.hardspell.com/doc/showcont.asp?news_id=4994 Neat graphics of 4, 2+ billion trany designs. Samples OUT, Greasy Details await public. AMD Might have complex memory solution, yet INTEL got theGOODS.

posted by : Not Drashek, 10 February 2009 Complain about this comment
Comments

Obviously Ollie is confusing Intel with GM or sim such company. He is a bit of a twit for sure or heavily drunk.

posted by : Cman, 10 February 2009 Complain about this comment
Corr ection....

graph is here & more details: http://en.hardspell.com/doc/showcont.asp?news_id=4994 only 3 2+ bill(4th is mobile).128-thread Boxboro-EX chipset due later this year. Theres another secret 64 thread CPU, too at intel show since 8February.

posted by : Still Not Drashek, 10 February 2009 Complain about this comment
For those in denial...

Intel only builds factories where they get huge government handouts. When the gold runs out they close the factories - as they have done numerous times.

Denial doesn't change reality.

posted by : Ollie, 10 February 2009 Complain about this comment
With Ollie

Intel sucks blood and spits out remains.
C.Barrett(spell?) comes into town (Melbourne, Vic, Aus) expects the whole nation (Federal & State) to suck up to Intel - provide large track of land, build new electricity, roads, special clean water for their precious...
Glad our pollies didn't buy in - Intel went to China instead - latest news is one of the Shanghai plant is being closed.

posted by : withOllie, 10 February 2009 Complain about this comment
Awk! Smaller Chips?!

Cor bless you Mr. Potato-Head!

posted by : Oliver Bad (NOT Incredibad!), 11 February 2009 Complain about this comment
Sounds OK

The only sensible industries in the US at the moment are semiconductors and software (to some extend). The politicians and the banks trashed everything else. Intel is a greedy corporation of course but... they are saints next to the banks which ruined the economy.
As for Intel demanding water and roads in order to invest - hey, these things belong and shall remain in the possession of your country even if Intel closes their plant. I would certainly approve it, if the US government helped AMD, Intel, TI, etc instead of propping up corrupt financial institutions. Electronics is still the main engine behind productivity growth and it has been for quite a while. I would also approve of government funds for fusion and fast breeders rather than in windmills and similar useless fantasies. Nuclear is the only other industry with great potential but it is being kept down by political posturing, red tape and lack of investment.

posted by : Trashek, 11 February 2009 Complain about this comment
mistake to convert 45 nm fabs

I was a bit surprised by the choice of 45 nm fabs selected for 32 nm conversion. Some analysts and even some Intel gurus, may be surprised as well, expecting 65 nm or 90 nm fabs to be converted instead. Now those 90/65 nm fabs are further behind and less useful, while the transition from 45 nm to 32 nm will necessarily mean a period of substantially lower volumes for both.

posted by : eh, 21 March 2009 Complain about this comment
Intel VP retired

OK, ask Paul about all the chips being designed in India, etc.

posted by : Bill Pohlman, 04 September 2009 Complain about this comment
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