Intel Corp. is planning to invest something between $1 billion and $1.5 billion to upgrade its chip factory in New Mexico. The company is also increasing a bet on a new manufacturing technology that could aid the company’s battle with Advanced Micro Devices Inc.
The factory in Rio Ranch is expected to become the fourth Intel plant that can create chips with circuitry measured at 45 nanometers, or billionths of a meter. The latest decision of investment was taken with a view to restructure its semiconductor production facility in New Mexico to manufacture computer chips with next-generation technology.
The factory will be overhauled with apparatus and equipment to make computer chips using 45 nanometer manufacturing process technologies, which almost doubles the transistor density per chip. The new technology helps to reduce chip leakage and power consumption. Further, this technology also reduces the manufacturing costs per chip for semiconductors used in PCs and data-server networks.
Moreover, the company is already spending $3 billion to build a 45- nanometer plant in Chandler, Arizona, and a $3.5 billion one in Kiryat Gat, Israel. In addition to it Arizona will follow Oregon into production later this year, while Israel will join the club in the first half of 2008, the company revealed.
