In the present day at a personal GlobalFoundies occasion, CEO Tom Caulfield accompanied by Senate Majority Chief Chuck Schumer, introduced that the corporate is about on enlargement. On the coronary heart of this new initiative is a doubling of Fab 8, GF’s main manufacturing facility, at the price of round $1B. Accompanying that is an announcement can also be the disclosure that GF goes to construct one other manufacturing facility near Fab 8, in Malta NY. Particulars of the brand new facility weren’t given.
CEO Tom Caulfield
GlobalFoundries is a contract producer of microprocessors, specializing in adjacency applied sciences from 12nm and bigger geometries. Whereas most column inches are spent discussing the forefront manufacturing at GF’s opponents, in a dialogue with the CEO we had been instructed that GF addresses round 70% of the semiconductor market and within the present local weather is presently operating all of its amenities at most manufacturing.
GF has three primary fabs in Malta NY, Dresden Germany, and Singapore – all three are operating at most output, and GF not too long ago introduced a brand new plant in Singapore able to 450K wafers per yr. Tom Caulfield instructed us previous to that announcement that the Malta fab is round two-thirds full of kit, Dresden is at about half, however Singapore is full, therefore the brand new Singapore fab. In March GF introduced a $1.4B enlargement divided equally between the three websites, with Manufacturing capability is predicted to extend by 13% this yr and by 20% subsequent yr on account of the elevated funding. In the present day’s announcement commits to including further machines at Malta to scale out to the area already there, for an additional 150k wafers per yr, at a price of $1B.
New web site with the brand new branding. They need to have put ‘Moore’
The opposite ingredient of the announcement is the brand new fab in Malta. The deployment of a brand new facility, particularly at scale, prices billions. GlobalFoundries right now acknowledges that it’ll take billions, citing the US authorities’s need to extend nationwide manufacturing in mild of the worldwide scale and constructing extra on American soil. Precisely how GF will implement a brand new facility has not been disclosed – no timeline, no prices, no details about the place the funding is coming from, or what course of nodes might be manufactured on web site. Discussions had been additionally made in mild of the semiconductor provide chain, and the necessity to make investments and evolve that a part of the enterprise alongside manufacturing enhancements. Senator Schumer spoke about the necessity to move develop semiconductors, holding up a bag of chips alongside a wafer.
These bulletins are a part of a prepare of current disclosures and speak about GlobalFoundries. Final week it was rumoured that Intel was searching for to amass GF for $30 billion, nevertheless right now GF introduced a whole brand change and rebranding of the enterprise, which doesn’t are likely to happen if an organization is within the strategy of acquisition talks. Alongside this, GF is predicted to convey ahead its Preliminary Public Providing (IPO) from 2022 to late 2021. The corporate is presently owned wholly by the Emerati state holding firm Mubadala, and the IPO is on the again of some development of GF in mild of the excessive semiconductor demand atmosphere. GlobalFoundries expects its 2021 income to be round $6.2 billion, a +9% development over 2020.