Barb, TI's plan is clear enough. They plan a new fab in China. Period. Intel's announcement, on the other hand, is full of all kinds of meanings, including the obvious political throwaway to the U.S. people who are keenly feeling the country's economic problem. Intel's plan to spend $6 billion to $8 billion on capital expenditure, including a new development fab, in the U.S is welcome news to engineers throughout the country but a breakdown of the spending shows it is not similar to spending on a new fab outright. The bulk of the money will probably go to updating existing fabs, something Intel must do or otherwise build new ones from scratch, a vastly expensive concept. It is interesting the company says it will build a "development fab" in Oregon. What exactly is a development fab and how different will it be from a manufacturing fab and how much cheaper would it be than a manufacturing fab? In some news reports, the fab is called a R&D fab. So, which will it be, development (R&D) or manufacturing fab?
Paul Otellini, Intel's president and CEO, is injecting the company much too closely into the political events in the country. See Intel CEO Otellini: The Democrats are Destroying Our Economy. That's, of course, his right but coupled with his statements about why the company is making this latest investment, one begins to wonder what exactly Intel is driving at.
Good point about Intel and politics. My follow-up questions to that is, what do Intel shareholders think about this? We hear again and again how publicly traded companies are beholden to shareholders. OK. We accept that. But when does the kind of investment Intel is talking about cross the line between responsible investment in technology for the company's sake, and making a political statement? Are most of Intel shareholders (I am not an Intel shareholder for the record) content to take Intel's word that this is the right thing for the company?
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Archived Dialogues
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
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