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Technology Stocks : Semi Equipment Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Gottfried who wrote (43340)	2/10/2009 5:53:40 PM
From: FJB	Respond to of 95530

Don't get me wrong. I will take all the feel good stories I can at this point, "cuz I ain't feelin so good".

To: Gottfried who wrote (43340)	2/13/2009 3:27:23 PM
From: FJB	1 Recommendation Read Replies (1) \| Respond to of 95530

Updated: How will Intel spend $7B for fabs? Mark LaPedus (02/13/2009 7:09 AM EST) URL: eetimes.com SAN JOSE, Calif. -- As reported this week, Intel Corp. plans to spend $7 billion to build or expand its fabs in the United States over the next two years. How will Intel spend the money? Intel's investment will be made at existing fabs in Oregon, Arizona and New Mexico. It is investing $7 billion to retool existing fabs to the 32-nm node, said Edwin Mok, an analyst with Needham & Co. LLC. ''The $7 billion is split (about) 50/50 over 2009 and 2010,'' Mok said in a report. ''Unlike 45-nm, where Intel built two 'green field' fabs, Intel plans to convert two 45-nm fabs and a 65-nm fab to 32-nm.'' And in reality, Intel will lower its capital spending in 2009. ''We believe Intel is moderating the rate of 32-nm investment, and expect 2009 capex to be lowered to <$4.5 billion, verses guidance of flat-to-slightly-down from 2008 of $5.2 billion,'' he said. ''We believe some of the fabs could have both 45-nm/32-nm capability. Additionally, we believe Intel will purchase more equipment for FEOL, and less on BEOL.'' As part of the plan, Intel will spend $3 billion to upgrade its fabs in Chandler, Ariz., according to reports. Fab 22 and 32 at the Ocotillo campus will be converted into one giant fab, dubbed Fab 32. Fab 32 is a $3 billion factory that was originally announced in 2005. In 2007, production of a new generation of microprocessors begun at Fab 32, Intel's first high-volume, 45-nm fab. Construction of the 32-nm plant will begin by mid-year and completed by the end of 2010, according to The Arizona Republic. That article can be read here. In addition, Intel will spend $2.5 billion in upgrades for its Rio Rancho, N.M.-based fab, dubbed 11x. Fab 11X is currently beginning production on the next-generation 45-nm manufacturing process. The article about 11x upgrades can be read here. The new investment also includes $1.5 billion for expansions in Hillsboro, Ore. That article can be read here. Intel first produced 45-nm processors in its Oregon development facility, called D1D, in January Indeed, Intel is moving full speed ahead with 32-nm--at least to some degree. ''Intel maintains 32-nm roadmap, but products will come at a slower pace,'' Mok said. ''Intel decided to only release dual-core products on 32-nm (for the common platform) and keep quad-cores on 45-nm until the next generation platform (in late-2010),'' he said. ''This is different from the 45-nm ramp where Intel moves every product from 65-nm to 45-nm.'' And here's another interesting twist: ''Instead of integrating graphics on single, same piece 32-nm silicon, Intel will put a 45-nm graphic die and a 32-nm processor die on the same package. We believe Intel needs this flexibility on manufacturing to manage this transition, especially given demand uncertainty,'' he added.