Fab Update: Drop in New Fab Activity
-- Semiconductor International, 2/1/2002
Key points:
- When the industry is in a downturn, very few companies want to build new fabs.
- Prior to the current downturn, new fabs starting construction bottomed out in the fall of 1998, shortly after chip sales hit bottom.
- As chip sales increased in 1999 and 2000, both the number of new fabs starting construction and the value of these fabs increased dramatically.
- By the end of 2000, when chip sales appear to have hit bottom, almost no new fab projects were beginning construction.
- As chip sales increase in 2002, the industry will see a resurgence in new fab building, particularly 300 mm.
Strategic Marketing Associates is a market research company focusing on the fab. For information about capital spending and new fab projects, call Strategic Marketing Associates at 1-831-464-2669, visit www.scfab.com or e-mail sma@scfab.com.
