Intel delays opening of Arizona Fab 42 thanks to soft PC sales

Jan 15 2014, 11:27am CST | by , in News | Technology News

Intel delays opening of Arizona Fab 42 thanks to soft PC sales

Delay in opening facility wont impact production

Intel has been working on a new chip making facility called Fab 42 in Chandler, Arizona. That facility was supposed to start making processors at the end of 2013. Intel has announced that it has chosen to delay the opening at the Fab 42 facility indefinitely. The reason for the delayed opening is soft demand in the PC market reports Livemint.

Demand isn't supposed to get any better for PC this year as the market continues to bottom out. Intel chose to upgrade other facilities on the same grounds in Arizona, which already had chip making gear inside.

“The completed Chandler plant, called Fab 42, hasn’t been filled with chipmaking gear,” Chuck Mulloy, a spokesman for Intel, said on Tuesday in a telephone interview. “The Santa Clara, California-based company decided to first upgrade the three other factories on the site because they can use existing equipment,” he said.

“The delay in opening Fab 42, which was scheduled to start production at the end of 2013, won’t reduce Intel’s total output, Mulloy said. The decision was reported earlier by the Arizona Republic newspaper.

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