OT:11:18 AM ET 02/02/00
Intel to buy Rockwell chip plant, to invest $1.5 bln
SANTA CLARA, Calif., Feb 2 (Reuters) - Intel Corp.
plans to buy a chip making plant from Rockwell International
Corp. and invest $1.5 billion in it, in a move Intel
sees significantly boosting its short-term manufacturing
capacity.
Intel, the world's biggest chip maker, expects to begin
manufacturing flash memory at the Colorado Springs, Colo. wafer
fabrication facility by late this year. The facility is
currently vacant.
The company said it has signed a letter of intent with
Rockwell, but did not disclose details of the agreement.
"This facility will give us the ability to rapidly add more
manufacturing capacity in order to address our customers'
growing demand for a wide variety of our products," said Mike
Splinter of Intel's Technology and Manufacturing Group.
The Colorado Springs facility consists of two wafer "fabs"
and several support buildings. The first, a 268,000 square foot
manufacturing and support facility, was built in the early
1980s and will be converted into a sort and test facility.
The second was built in 1996 but never utilized. It is
a 676,000 square foot facility that will be equipped to
manufacture flash memory and logic components used in a wide
variety of communications, networking and computer equipment.
Intel plans to install its 0.18-micron manufacturing
technology in the plant.
The plant will result in the creation of more than a
thousand new jobs in Colorado Springs, Intel said.
((-- New York Newsdesk, 212-859-1893))
Allot of fab move lately after the Texas fiasco
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