New York/Dresden, Germany - US chipmaker AMD plans to restructure its German-based manufacturing operation in Dresden in a bid to cut costs, US media reports said Tuesday.

The company plans to form a new joint venture, which will receive up to 6 billion dollars in funding from an investment company in Abu Dhabi, the reports said.

The aim is to reduce costs by producing chips for other companies as well as AMD, the reports added.

According to the Wall Street Journal, the new venture will be called Foundry Co.

Most of the money to operate it will come from Advanced Technology Investment Co, an Abu Dhabi-based firm.

AMD was due to announce details at a press conference later Wednesday. (dpa)