India group lays out fab plans

February 13, 2006 – Hyderabad in Andhra Pradesh will be the future home of India’s proposed new $3 billion Fab City project, backed by investors and supported by AMD, according to local reports.

The Times of India indicated that SemIndia, a NRI consortium working with the government, will receive 1200 acres of land, water, subsidized electricity, as well as promises of $1 billion in investor equity to set up the facility. AMD has stated it will participate in the fab venture to augment its regional test and assembly operations.

New and Sify reported that the site in the Ranga Reddy district, near an upcoming international airport, will have more than 20 chipmaking units and several ancillary businesses. Three companies, including AMD, Cypress Semiconductor and NanoTech Solutions, already have committed to the project, which will be kicked off with a $1 billion phase next month (to include a backend facility for AMD), followed by a $2 billion second phase.


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