First Published: Wed, Jan 15 2014. 01 07 PM IST

Intel puts new Arizona processor plant on hold amid PC slump

Intel will delay Fab 42 plant in Arizona amid a slump in demand for PC microprocessors
E-mailPrint
Intel puts new Arizona processor plant on hold amid PC slump
Intel, which also has chipmaking facilities in Oregon, New Mexico, Ireland and Israel, gets the majority of its sales from computer processors. Photo: Bloomberg
San Francisco: Intel Corp., the world’s largest chipmaker, said it will delay opening a new factory in Arizona amid a slump in demand for personal-computer microprocessors, its main source of revenue.
“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.
Intel, which also has chipmaking facilities in Oregon, New Mexico, Ireland and Israel, gets the majority of its sales from computer processors. PC shipments fell 10% in 2013, the steepest annual decline on record, according to researcher IDC Corp. “The slump is projected to persist, with a 3.8% drop in unit sales predicted for this year,” IDC said.
Intel shares rose 4% to $26.51 at Tuesday’s close in New York. The stock gained 26% last year. The company will report fourth-quarter earnings on 16 January.
“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. Bloomberg
More Topics: Intel | Arizona plant | Processors | computers | Fab 42 |
blog comments powered by Disqus
  • Wed, Oct 15 2014. 11 40 PM
  • Wed, Oct 08 2014. 03 02 PM
Subscribe |  Contact Us  |  mint Code  |  Privacy policy  |  Terms of Use  |  Advertising  |  Mint Apps  |  About HT Media  |  Jobs
Contact Us
Copyright © 2014 HT Media All Rights Reserved