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GlobalFoundries to Sell 300mm New York Fab to ON Semiconductor - AnandTech

GlobalFoundries to Sell 300mm New York Fab to ON Semiconductor - AnandTech

GlobalFoundries and ON Semiconductor on Monday signed a definitive agreement for the latter to buy GlobalFoundries’ 300-mm fab in East Fishkill, New York. In addition to the production facility, ON Semiconductor will get a team of experienced engineers from GlobalFoundries as well as a technology transfer, development, and license agreements.

The total consideration for the Fab 10 takeover is $430 million. GlobalFoundries received $100 million today upon the signing of the agreement, whereas $330 million will be paid at the end of 2022 when ON Semiconductor will gain full operational control of the fab. Employees of the facility will also join ON Semiconductor. Meanwhile, ON will start using the fab’s services in 2020. Such a long transition period is not unusual for the industry, as in this case it will allow GlobalFoundries to finish filling orders from its current customers.

GlobalFoundries first received Fab 10 as part of its acquisition of IBM's microelectronics assets in 2015. The fab is used to process 300-mm wafers using various technologies, including 45nm and 65 nm technology nodes (as well as their 40 nm and 55 nm versions). Under the terms of the agreement, these technologies will be licensed to ON Semiconductor and will be the basis for the latter’s upcoming process technologies.

At present ON Semiconductor uses fabs that process 200-mm wafers, so the engineers from GlobalFoundries will help the company to transit it process technologies from 200-mm to 300-mm wafers. [Read More]

Published @ April 22, 2019

GlobalFoundries to Sell 300mm New York Fab to ON Semiconductor - AnandTech

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