New
Facility Will Help AMD Nearly Double its Output in the Next Three
Years, Meet Growing Demand for AMD64 Processors and Achieve Aggressive
Growth Objectives
DRESDEN, Germany -- October 14, 2005 --At
a ceremony attended by top German government officials and leaders from
across the semiconductor industry, AMD (NYSE: AMD) today announced the
grand opening of its 300 millimeter (mm) Fab 36 in Dresden, Germany.
"The on-schedule, on-plan opening of Fab 36 is the latest achievement
in AMD’s growing track record of flawless execution on our
manufacturing strategies and goals," said Hector Ruiz, chairman of the
board, president and chief executive officer of AMD. "In AMD Fab 30,
using our patented Automated Precision Manufacturing (APM)
capabilities, we have had tremendous success in rapidly transitioning
to new technology generations and quickly achieving mature yields. Fab
36 is designed to continue this rock-solid consistency, ensuring we can
effectively and efficiently meet the growing demand for AMD 64-bit
solutions worldwide."
With the production ramp in Fab 36 progressing on schedule, the company
intends to make 90nm production shipments in the first quarter of 2006
and begin 65nm production by the end of 2006. AMD has set a goal to be
substantially converted to 65nm in Fab 36 by mid-2007.
Capacity gained through the use of larger 300mm wafers, combined with
the speed and efficiencies enabled by APM, plays a fundamental role in
the company’s growth plans for the next several years. Now in its third
generation, APM consists of hundreds of AMD patented and patent-pending
technologies that dynamically and automatically optimize fab
operations. This unique automated decision-making capability has
allowed AMD to accelerate its responsiveness to customer needs, more
quickly transition to new technologies, improve quality and operate at
increasing levels of efficiency.
AMD plans to add production output on a steady year-to-year basis,
giving it the potential to ship as many as 100 million units in 2008,
while also keeping fab utilization at consistently high levels. This
will help AMD meet growing demand for its award-winning AMD64
processors and achieve its objectives of capturing a significantly
larger share of the x86 microprocessor market in the coming years.
"Fab 36 represents the pinnacle of AMD manufacturing and technology
innovation," said Daryl Ostrander, senior vice president, logic
technology and manufacturing, Microprocessor Solutions Sector. "With
our pioneering automation capabilities, state-of-the-art submicron
process technologies developed in partnership with IBM, and the unique
talents of our employees around the world, we can consistently deliver
on our promises to customers now and in the future."
After extensive due diligence, AMD chose to build Fab 36 in Dresden
based on the successful track record of AMD Fab 30, the financial
incentives package provided by the Free State of Saxony and Federal
Republic of Germany, and the large number of talented engineering and
technical personnel in the region.
"Our employees are the true foundation of our competitiveness," said
Hans Deppe, corporate vice president and general manager of AMD in
Dresden (Fab 30 and Fab 36). "Because of their spirit and dedication,
we have progressed from the ground breaking of Fab 36 to its grand
opening in less than 24 months. Further, we accomplished this while
simultaneously operating Fab 30 at top performance and efficiency
levels."
AMD’s presence in Dresden has been a tremendous mutual success for the
company, the Free State of Saxony, Germany and the European Union.
AMD’s investment in the region, one of the largest foreign investments
in Germany within the last decade, has created approximately 7,000
direct and indirect jobs in Saxony and the surrounding regions. It has
been instrumental in establishing Dresden as the thriving center for
semiconductor innovation in the EU.
News Source: AMD Press Release
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