When doing a due diligence on an outsource of wafers one looks at the supply chain in terms of location to post fabrication (this is mainly Asia), political stability, geographical integrity (i.e. earthquakes), government support, technical resources,etc. Investing billions of dollars does not automatically put you in the game to win. Also, why would Singapore participate in creating a competitor of resources outside their own country. Sure the Singapore investors were pleased to get Chartered off their hands, but why move to train another nation to compete against.
It will be very interesting to see how this turns out. I remember a TI fab was to be built in Thailand, there was a lot of training of new workers. When the fab construction experts finally got to the site, the water and electicity supply were not sufficient to actually run a fab, and the whole project was cancelled, and all the new trainees were let go (I think most went to work for Seagate). Hopefully the Abu Dhabi people are on top of these things.
"Globalfoundries have plans to spend up to $7 billion to build a wafer fab in Abu Dhabi and is reported to be preparing to break ground on the fab in 2012."
2012! is too ambitious. I am skeptical whether they have skilled workforce to do this. Training 50 people is good, but isnt even remotely enough to run a fab.
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