AMD to start work on new factory

AMDAMD is planning to commence construction on a new facility which would accommodate its worldwide Foundries spin-off.

Friday, an announcement made by the company specified that the revolutionary for the fresh $4.2bn manufacturing facility in upstate New York.

When it is finished, the Global Foundries' offices and manufacturing operations would be housed by the facility. It should be noted that it was the previous year when the manufacturing company spun off Global Foundries from AMD, with the help of the Advanced Technology Investment Company of Abu Dhabi.

The move was included in a plan by AMD, which aimed at removing some of its debt and shifting its attention to chip design, in the wake of a disappointing financial stretch.

By 2012, when the construction of the new facility is completed, the company estimates that around 6,400 jobs would be created by the new 'Fab 2' plant. The new chips as well as third party chipmakers would be produced by the plant for AMD.

AMD president and chief executive Dirk Meyer said: "Fab 2 represents the culmination of AMD's multi-year vision to bring a leading-edge semiconductor manufacturing facility to the United States."

He further said: "Global Foundries is expected to be an ideal technology partner for the entire semiconductor design industry, providing cost-effective access to manufacturing capacity on an unprecedented scale."