News & Analysis
Comment
m00nshine
I do not know of separate fabs in Austin for flashes and logic chips, but ...
docdivakar
Ironic, now that the mobile patent decision is out, will Samsung rethink the ...
Samsung to invest $4B to upgrade Austin chip fab
Dylan McGrath
8/21/2012 12:01 PM EDT
SAN FRANCISCO—A subsidiary of South Korea's Samsung Electronics Co. Ltd. plans to invest $4 billion to beef up the company's logic semiconductor fab in Austin, Texas, the company said Tuesday (Aug. 21).
Samsung completed construction of phase two of the Austin fab—where Samsung builds A4 and A5 processors for Apple Inc. as well as other logic chips—last year. The upgrade plans announced Tuesday will bring Samsung's total fab investment in Texas to $13 billion, Samsung said.
Samsung said the remodeled fab line will mainly produce mobile SoCs on 300-mm wafers at the 28-nm process node.
Samsung said it plans to start work on the upgrade later this month. Mass production of the retroffited facility is expected to commence in the second half of next year, Samsung said.
"The added ability in production will allow our customers to better respond to market needs," said Woosung Han, president of Samsung Austin Semiconductor, in a statement.
Samsung said the $4 billion investment would mark the largest ever foreign investment in the state of Texas.
Last week, Samsung announced plans to expand its semiconductor R&D facility in San Jose, Calif. The project will receive substantial tax breaks from the state of California and San Jose.
Samsung completed construction of phase two of the Austin fab—where Samsung builds A4 and A5 processors for Apple Inc. as well as other logic chips—last year. The upgrade plans announced Tuesday will bring Samsung's total fab investment in Texas to $13 billion, Samsung said.
Samsung said the remodeled fab line will mainly produce mobile SoCs on 300-mm wafers at the 28-nm process node.
Samsung said it plans to start work on the upgrade later this month. Mass production of the retroffited facility is expected to commence in the second half of next year, Samsung said.
"The added ability in production will allow our customers to better respond to market needs," said Woosung Han, president of Samsung Austin Semiconductor, in a statement.
Samsung said the $4 billion investment would mark the largest ever foreign investment in the state of Texas.
Last week, Samsung announced plans to expand its semiconductor R&D facility in San Jose, Calif. The project will receive substantial tax breaks from the state of California and San Jose.
|
|
|
|
|
Navigate to related information
GoGoGeek
8/21/2012 1:22 PM EDT
I heard that this is the conversion of the exisiting Flash fab to make all of Austin Logic.
Sign in to Reply
dylan.mcgrath
8/21/2012 2:54 PM EDT
@GoGoGeek- I believe that is accurate. We are trying to get further details and clarification.
Sign in to Reply
resistion
8/22/2012 5:56 PM EDT
Originally, there was speculation they would go to 3D NAND, guess not.
Sign in to Reply
resistion
8/27/2012 1:02 AM EDT
There is a logic and a flash fab in Austin. It would be a surprise to suddenly stop the flash production.
Sign in to Reply
m00nshine
9/5/2012 11:00 PM EDT
I do not know of separate fabs in Austin for flashes and logic chips, but Samsung press report says "full system LSI" production at austin fab. Remember announcement of new samsung china memory fab for flashes? Maybe Austin memory production move to china fab to make possible more profitable LSI in USA.
Sign in to Reply
Stanley_
8/21/2012 2:56 PM EDT
the fab is only for apple? How the title can be validated?
Sign in to Reply
dylan.mcgrath
8/21/2012 4:06 PM EDT
@Stanley- the fab is certainly not only for Apple. The headline does not tell the entire story. Read on.
Sign in to Reply
m00nshine
8/21/2012 10:59 PM EDT
Certainly not? The only thing that is certain is that the customer for autin fab chips is unknown. Apple could "certainly" be anywhere from 0% to 100% customer from Austin samsung fab. That is all that is certain because no one will confirm it or even comment on itt... not samsung or apple.
Sign in to Reply
dylan.mcgrath
8/22/2012 9:10 PM EDT
@m00nshine- That's a good point. Nothing is really certain. But the fab is widely believed to make A4 and A5 processors for Apple, as well as other products.
Sign in to Reply
kinnar
8/21/2012 4:03 PM EDT
Its a very strange condition and position of the two giant industries, at one end the fight is going on for patent violations and on the other end one company is fully dependent on the other for the basic needs of hardware.
Sign in to Reply
joepaiii
8/21/2012 10:54 PM EDT
I don't know that Apple is fully dependent on Samsung, I wouldn't be surprised to see another source pop up on this cycle of hardware. Maybe the new processor will be fabbed in Austin and a slow migration of older parts to TMSC/Global.
Sign in to Reply
sprite0022
8/21/2012 8:20 PM EDT
can they just merge?
Sign in to Reply
HS_SemiPro
8/21/2012 11:35 PM EDT
what a Business model these 2 companies have, fight for Design innovation, while sharing the Hardware Manufacturing.
I think the reason why Samsung is still making Apple chips, it doesn't want to let it go TSMC or Global Foundries. Samsung has good technology and Apple needs it now,until they can trust somebody else. (Global Foundries,I am betting on it)
Sign in to Reply
Sheetal.Pandey
8/22/2012 4:10 AM EDT
Samsung is defintely doing right things. I guess since they are into many different business areas they are able to retain top two postions.
Sign in to Reply
elctrnx_lyf
8/22/2012 9:58 AM EDT
It's till interesting to see the ties between Samsung and apple are not disturbed even after the big fight about patent infringement.
Sign in to Reply
wilber_xbox
8/22/2012 2:04 PM EDT
So the financial incentives and political willpower is working in favor of US.
Sign in to Reply
resistion
8/22/2012 5:45 PM EDT
28 nm will be over when this fab is completed.
Sign in to Reply
dylan.mcgrath
8/22/2012 9:09 PM EDT
@resistion- mass production in the revamped fab is supposed to start in the second half of next year. The most advanced A5 is 32-nm. Surely an A6 is forthcoming....
Sign in to Reply
hm
8/22/2012 8:10 PM EDT
How much of this is money provided by Apple? Also, Intel must be watching this very closely.
Sign in to Reply
Bob Tsai
8/22/2012 9:12 PM EDT
We have heard this investment is mainly for 3D IC manufacture. According to the history of Austin Fab, maybe imply next gen processor for Apple (A7?!) would be 3D structure and Samsung may gain more market share across foundry business.
Sign in to Reply
sprite0022
8/22/2012 10:10 PM EDT
intel should follow fast,
it's cpu lunch won't last very long.
Sign in to Reply
joshxdr
8/22/2012 10:18 PM EDT
Great news! I know that Hynix only had a US fab to circumvent punitive duties, and as soon as the duties expired they closed the fab. Samsung seems to be taking their US operations more seriously, which is great. Hopefully Samsung will start to shift some development to the US as well.
Sign in to Reply
HankWalker
8/24/2012 6:35 PM EDT
Joshxdr, see Samsung Austin Research Center.
Sign in to Reply
docdivakar
8/31/2012 8:01 PM EDT
Ironic, now that the mobile patent decision is out, will Samsung rethink the decision?
Sign in to Reply