TI expands analog capacity with acquisition

tianalogDallas, Tex. — Texas Instruments Inc. (TI) will purchase two wafer fabs and manufacturing equipment in Aizu-Wakamatsu, Japan, which will increase the company’s production capacity of analog semiconductors. The assets currently are operated by Spansion Japan Limited (SJL) and are being acquired under a court-approved plan of reorganization, said TI.

The acquisition includes a 200-mm wafer fab currently in operation that is capable of expanding TI’s analog revenue by more than $1 billion annually, as well as a second non-operating wafer fab of equal size for either 200-mm or 300-mm production.

TI said it will continue running the first fab and will preserve the second one for future capacity expansion. TI plans to offer employment to almost all of SJL employees in Aizu.

The purchase also includes 300-mm production tools, many of which will be moved to Richardson, Texas, to help complete Phase II of RFAB, the industry’s first 300-mm analog wafer fab. With the completion of Phase II, RFAB will be capable of supporting $2 billion of revenue per year.

A portion of the 300-mm tools that come with the acquisition in Japan are not needed for TI’s advanced analog technology processes and will be re-sold, according to the company.

This acquisition follows a series of analog manufacturing expansions announced by TI over the past 24 months, which collectively will add capacity for more than $3.5 billion of additional Analog revenue per year when fully operational.

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