Sam­sung stick­ing with Austin

Com­pany reaf­firms plans for $4 bil­lion re­boot of fab­ri­ca­tion plant for pro­ces­sors.

Austin American-Statesman - - BUSINESS - By Kirk Laden­dorf kladen­dorf@states­ Sam­sung

Sam­sung Elec­tron­ics Co. sig­naled Fri­day that it is con­tin­u­ing to in­vest in Austin, both in chip man­u­fac­tur­ing ca­pac­ity and in de­sign of low­power pro­ces­sor chips for mo­bile prod­ucts and other de­vices.

Sam­sung re­it­er­ated that its lat­est Austin project — the retrofitting of half of its main fab­ri­ca­tion op­er­a­tion in North­east Austin — is ex­pected to cost about $4 bil­lion and go into com­mer­cial pro­duc­tion in the sec­ond half of 2013.

That project will shift much of the pro­duc­tion of the Austin fac­tory from flash me­mory chips to ad­vanced low-power pro­ces­sors that are used in mo­bile de­vices such as smart phones and tablets.

The re­vamped part of the fac­tory will make pro­ces­sors with crit­i­cal di­men­sions as small as 28 nanome­ters, a re­duc­tion in size of from the ex­ist­ing man­u­fac­tur­ing tech­nol­ogy used at the Austin plant. That ad­vance trans­lates into lower pro­duc­tion costs, higher pro­duc­tion quan­ti­ties and lower power con­sump­tion by those chips.

While the big money is be­ing spent on fac­tory equip­ment for chip pro­duc­tion, much of the con­tin­u­ing job growth at Sam­sung in Austin is for chip de­sign.

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