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To: TTOSBT who wrote (51425)3/27/1998 12:12:00 PM
From: Steve Parrino  Read Replies (1) | Respond to of 186894
 
Thread: here's the local spin on the Fort Worth fab delay

Delay may cost Intel millions
By Bill Bowen
Fort Worth Star-Telegram Staff Writer

Intel Corp. will likely have to pay tens of millions of dollars in penalties to cancel construction contracts for its $1.3 billion plant near Alliance Airport.

startext.net



To: TTOSBT who wrote (51425)3/27/1998 1:42:00 PM
From: Paul Engel  Read Replies (1) | Respond to of 186894
 
TTOSBT - Re: "May be Paul E can add his expertise?"

Intel is maintaining or slightly steadily increasing manufacturing capacity by converting from 0.35 micron to 0.25 micron processes. The Deschutes at 131 sq. mm. is slightly smaller than the Pentium MMX on 0.35 micron process.

Further, the Deschutes can be reduced in size with some lay out optimization and removal of wire bond pad rings as their C4 process ramps up. This will add a bit more capacity.

In addition, Fab 14 (Ireland) and Fab 18 (Israel) are due to come on line at the latter part of this year, adding still further manufacturing capacity.

Fab 18 may possibly be brought up as a 0.18 micron wafer fab (8 inch wafers). This would provide MERCED production capability to Augment D1B's 0.18 micron process (Oregon).

Shrunken versions of Katmai and possibly Mendocino (with L2 cache) will require the 0.18 micron process.

As Intel converts some 0.35 micron fabs to 0.18 micron fabs, even more capacity will be added as Deschutes, Katmai, Willamette, Mendocino all migrate to the smaller processes.

All this is colored with the uncertainty in PC growth rates as witnessed by Compaq and S.E. Asia.

If and when the DEC deal is approved, Intel will be adding its THIRD fab this year.

Further, Intel is building a new 300 MM wafer R & D center in Oregon that will eventually become a 0.13 micron production facility in about 3 or 4 years!

Thus, the Texas Fab would probably not be needed for four or more years at least by which time 300 mm wafer capability will become a reality.

Better to build the Texas Fab once rather than twice!

Paul