Intel today signed a letter of intent with Rockwell International to buy a vacant wafer manufacturing facility in the Colorado Springs, Colo., area in order to quickly boost its manufacturing capability.
Intel reported it will invest $1.5 billion in the factory and expects to be making flash memory products later this year. The site contains two factory buildings with nearly 1 million square feet of floor space, including a 120,000 square-foot clean room. Intel would not say what it is paying for the plant.
"This facility will give us the ability to rapidly add more manufacturing capacity in order to address our customers' growing demand for a wide variety of our products," said Mike Splinter, senior VP and GM of Intel's Technology and Manufacturing Group.