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> I suspect the production goes to US defense applications. Pompeo tweeting about it seems to confirm it. It doesn't. Just because he referenced "national sec
by vonmoltke 6y ago
> I suspect the production goes to US defense applications. Pompeo tweeting about it seems to confirm it.
It doesn't. Just because he referenced "national security" does not mean this fab will be dedicated to producing chips for DOD contractors.
The DOD has been making a shift to COTS processing hardware over the past couple decades. Part of the national security implications of this fab is preventing supply chain disruption in the event something happens with China. This serves to both guarantee the ability to supply COTS hardware to the DOD and to reduce the impact on the overall economy, making it more difficult for China to hold the US over a barrel by threatening its technology industry.
- Nokinside 6y agoCOTS parts are part of defense supply chain management. Only manufacturer of critical components within 200 km from Chinese border is strategic vulnerability, COTS or not.
- jbay808 6y agoI think you and your parent agree with each other.
- Nokinside 6y agoNo, we disagree. I think this fab manufactures almost exclusively to defense even if it manufactures COTS parts. Building small volume fab for 2/3 of the cost of new GIGAFAB makes no sense for commercial purposes.
- barbacoa 6y agoThe cost of the building is minor compared to the cost of the wafer equipment. It is not uncommon to build a Fab but only fill it with a fraction of the equipment capacity. Fabs can be scaled up when demand increases.
- Nokinside 6y agoThe equipment is costly (lithography equipment especially) but everything around them is also very expensive, including building. Huge Class 4 clean rooms, water purification, etc. There are lots of chemicals, acids and their processing involved. There are pipes moving liquid helium, nitrogen etc. Semiconductor fab is essentially a chemical plant.