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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?


To: Gottfried who wrote (9314)10/23/1997 11:00:00 PM
From: Teri Skogerboe  Read Replies (1) | Respond to of 70976
 
GM & All,

A long-term story, excerpt below.

techweb.cmp.com

By 2015, fabs will cost $10 billion

By Jack Robertson

SAN DIEGO -- State-of-the-art fabs, now costing $2 billion each, will
balloon to $10 billion investments by the year 2015--becoming more
expensive than a nuclear power station, predicted Mark Melliar-Smith,
president of Sematech.

Speaking before the Dataquest Semiconductor Industry conference here
today, Melliar-Smith said that even with efforts in reducing equipment costs he "don't see much that will change the linear trend line of factory capital costs" for the next 17 years. That extrapolates to a fab cost of $10 billion in the second decade of the next century, "making a semiconductor factory the single most expensive facility in the industrial world," said the president of the Austin, Tex.-based manufacturing research consortium.