Intel opens Fab 22; sees slight increase in 3Q earnings
12/01/2001
Meg Villeneuve
CHANDLER, AZ—Back when capital expenditures seemed to increase quarterly, Intel announced plans to build Fab 22 on its campus here. Now, just 19 months later, the fab is complete and ready to ramp up to full production; however, Intel officials would not disclose the fab's full capacity.
 Intel CEO Craig Barrett |
The new facility totals 360,000 square feet, with some 133,000 square feet of dedicated cleanroom space. The company will produce 200 mm wafers using copper-based 0.13-micron technology. If demand arises, Fab 22 has the capability to expand to 300 mm, according to a spokesperson for Intel.
"Intel's 0.13-micron process means each chip has more, smaller and faster transistors, which increases performance while requiring less power at lower cost per die," notes Robert Baker, vice president and general manager of Intel's Technology and Manufacturing Group.
More than 1,000 engineers, technicians and support people have been hired to work at Fab 22.
In its latest earnings release the company reported revenues of $6.5 billion for the third quarter, a decrease of 25 percent over the same period a year ago and a three percent increase over the second quarter.
"While economic conditions worldwide remain weak, we continue to strengthen our competitive position and expect to see moderate unit growth in microprocessors and flash memory in the fourth quarter," notes Intel CEO, Craig Barrett.
The company has spent some $7.5 billion on capital investments for 2001, however that number is expected to decrease in 2002. According to the October 2001 update to the McClean Report, Intel is forecasted to spend $4.5 billion, a decrease of 40 percent over 2001.