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Even though Advanced Micro Devices has cut down its spending on conversion of the Fab 30 this year, the company is still working on manufacturing capacities expansion projects. According to a report by a web-site, AMD already has so-called “conceptual design” of its fab in New York and plans to end design process in several months.

According to a post over TimesUnion web-site blog, AMD is “nearing the end of a 12-week design process of the chip fab. The conceptual design of the fab implies that AMD has enough space for creating an additional building, and thus expanding the fab, if needed.

Earlier AMD said that plant will initiate manufacturing in its New York-based fab in 2010, which will allow AMD to increase manufacturing capacities by 50% when compared to expected 2008 level. However, given that AMD decided not to convert its Fab 30 into Fab 38 this year, AMD’s production capacity in 2008 is unclear.

The incentives offered by New York include a $500 million grant for construction, $150 million in R&D subsidies to be used over 5 years, and $250 million tax rebate.

AMD will have a two-year window from July 2007 to July 2009 in which AMD can choose to initiate the building of a new 300mm wafer fabrication facility in Saratoga County, New York. However, it is unclear whether the company will really be able to initiate building, as current financial outlook of AMD seems to be gloomy.

Currently AMD refers to its first new USA-based fab in the decade as Fab 4x. Usually AMD calls its fabs in accordance with the year after the company foundation, e.g., Fab 36 was opened in 2005, 36 years after the establishment of AMD. Therefore, the name Fab 4x implies that the fab may not go online in 2009 or 2010, as planned.


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