AMD announced that it plans to invest a total of US$2.5 billion to expand its microprocessor manufacturing capacity over the next three years by adding additional 12-inch wafer production capabilities in Dresden through the implementation of three new projects.

These three projects have the potential to increase the Dresden-based manufacturing to a full capacity of 45,000 12-inch wafer starts per month by the end of 2008.

AMD's newest fabrication facility will come online through a major transformation of the company's existing Fab 30, which will be named Fab 38. The transition from 8- to 12-inch allows for more than twice as many processors on a wafer, AMD said.

In addition, AMD will also expand Fab 36's existing 12-inch capacity and build a new clean room facility to handle the site's growing bump and test requirements, which is one of the final stages of the manufacturing process where wafers are prepared to be shipped for packaging.

AMD will ramp down 12-inch manufacturing in the second half of 2007, with preparation already underway for the ramp of 12-inch wafers on 65nm process technology at Fab 38 by the end of 2007. This plant will produce the latest generations of AMD microprocessors and reach full capacity by the end of 2008.

The majority of the investment will go into new equipment in the Fab 38 facility. AMD will also build a new clean room facility on its Dresden campus for bump and test requirements, which will support both fabrication facilities. Previously, the clean room facilities for bump and test activities were located within Fab 30 and Fab 36

By: DocMemory
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