February 9, 2006 – SanDisk Corp. and Toshiba have accelerated plans to add 50% capacity the Fab 3 300mm wafer fab in Yokkaichi, Japan, to 70,000 wafers/month by March 2007, at a cost of approximately $500 million.
SanDisk already has budgeted about $1 billion in investments for Fab 3 this year, a portion of which will be financed through operating lease financing or other sources of capital. The acceleration in production output will help reduce costs and create better opportunities to expand SanDisk’s market presence, stated Eli Harari, president and CEO.
Toshiba and SanDisk started production of 70nm flash at Fab 3 last summer, aiming for 55nm by 2H06. They had denied rumors of a possible new 55nm NAND flash foundry in Singapore.