Advanced Micro Devices announced that it has begun revenue shipments of products manufactured at the company’s new Fab 36. While the deployment of the fab was not completely flawless, as the company had to delay introduction of processors made using 65nm process technology, the addition of the Fab 36 gives AMD ability to supply more processors to customers.

“The increased capacity provided by Fab 36 will contribute to our goal of doubling total production output from 2005 through 2008. We are positioned better than ever to serve our customers long-term needs and achieve our aggressive growth objectives,” said Dirk Meyer, president and chief operating officer at AMD.

The success of Fab 36 builds upon the achievements of Fab 30, which is located adjacent to Fab 36 and manufactures chips on 200mm wafers. Through the use of automated precision manufacturing (APM) and other ongoing productivity and efficiency enhancements, AMD increased total production output at Fab 30 by approximately 80% from the first quarter of 2004 through the fourth quarter of 2005. The fab, which was originally designed to produce a maximum of 20 000 wafers per month, now produces approximately 30 000 wafers per month thanks to continuous improvements and innovative new operational methods developed and used at the fab, according to AMD.

The company also disclosed that it has been producing a significant number of 65nm development test chips in parallel with 90nm products at the fab, in preparation for volume 65nm production later this year. Fab 36 engineers, with the help of AMD’s APM systems, are constantly analyzing data collected from the test chips and making consistent improvements. Fab 36 remains on track to begin 65nm production shipments in the second-half of this year, and be substantially converted to 65nm production by mid-2007.

Thanks to the Fab 36 and its contract foundry partner Chartered Semiconductor, AMD will be able to produce more microprocessors now and in the mid-year.