Intel officials unsure how changes will affect Chandler plants – Arizona Republic
It is not yet known if a manufacturing partnership recently announced by Intel Corp. will have any impact on the company’s Chandler facilities.
“It’s too soon to say anything definitive, and we can’t speculate about these activities,” said Rachel Sutherland, an Intel spokeswoman in Chandler. “In the future, it’s unlikely that we would talk about what customers’ products are being manufactured where, due to our companywide policies and agreements with customers.”
The partnership would allow Altera Corp. to use Intel’s 14-nanometer fabrication facilities to create its programmable chips, used for communications, high-end computing, broadcast and military applications, according to a press release.
A massive factory recently built in Chandler initially was intended for this 14-nanometer process, but Intel officials said in January that they intended to leave the massive new facility, known as Fab 42, vacant for the foreseeable future.
The advanced manufacturing process instead is expected to be launched in existing Intel facilities on the Chandler campus and at its facilities elsewhere. It is Intel’s newest manufacturing technology and is expected to be rolled out this year.
The 1,000 jobs that were announced as part of the $5 billion investment have been filled elsewhere on the Chandler campus, Intel officials said.
Intel CEO Brian Krzanich has acknowledged that the company was slow to transition to the mobile market and said the company will expand foundry agreements like this with Altera because demand for PCs has declined.
“Together, both companies are building off one another’s expertise with the primary focus on building industry-disrupting products,” Sunit Rikhi, vice president and general manager of Intel Custom Foundry, said in a statement.
The collaboration “reflects a shared commitment by both companies to improve the bandwidth and performance of next-generation services,” Brad Howe, senior vice president of research and development at Altera, said in a statement.
Intel also announced plans to reduce its global workforce by 5 percent.
Sutherland could not provide site-specific numbers for how the reduction might affect Chandler sites, but said that they might not see a 5 percent cut.
“The reductions are being made strategically by individual business groups,” she said in an e-mail.
With nearly 12,000 employees working at two campuses, Intel is Chandler’s largest employer.