Replies to post #43195 on Intel Corp (INTC)

[Elmer Phud]

Metal gates work, and deliver benefits. But this does not come for free. It is the reason Intel added one fab from its plan of three 45nm fabs last year to four.

Source please.

[wbmw]

Re: Metal gates work, and deliver benefits. But this does not come for free. It is the reason Intel added one fab from its plan of three 45nm fabs last year to four.

So in other words, you expect Intel to be producing no more products at 45nm than they are currently producing at 65nm, but they are requiring approximately 33% more wafer starts (4 fabs instead of 3), just to account for poorer yields?

I just want you to be specific, and be sure that with all the new product lines Intel is introducing, including Silverthorne, Larrabee, and possibly others, that you are certain there is no other explanation for the addition of a 4th 45nm fab, other than to account for bad yields on Intel's HK/MG process.

[mas]

It is the reason Intel added one fab from its plan of three 45nm fabs last year to four.

You really have no evidence for this and one of these Fabs is D1 which is their development Fab which will go to 32nm first in time. They could be just building capacity for their most optimistic marketshare plans. Another explanation could be they are building over capacity to ensure maximum price pressure can be exerted on AMD which is certainly more believable in light of 65nm experience and their own words of excess capacity and empty Fabs for someone. The very fact we will see Penryn in 2007 at greater than 65nm speeds does not strike one as being indicative of a bad process ;-).