TI to buy Spansion fabs for analogue expansion

Texas Instruments has decided to snap up two of troubled flash memory maker Spansion’s wafer fabs and their manufacturing equipment located in Aizu-Wakamatsu, Japan.

The fabs and equipment are being sold to TI under a court-approved plan of reorganisation for Spansion. TI said the the purchase allows the company to cost-effectively increase its production capacity. TI will move Spansion’s 300mm equipment into the analogue wafer fab that the company is equipping in Texas. At the same time, it gives the analogue chipmaker an operational 200mm wafer fab in Japan that it will continue runnin. A second fab will be set aside for possible future capacity expansion. TI plans to offer employment to almost all of Spansion’s employees currently based in Aizu.
A portion of the 300mm tools that come with the acquisition in Japan are not needed for TI’s advanced analogue technology processes and will be re-sold.
“Analog technology is increasingly important as the vital link between the real world and digital domain in all electronic applications,” said Gregg Lowe, senior vice president in charge of the company’s analogue business. “This latest addition of analogue capacity will further increase TI’s ability to support our customers’ growth, now and in the future.”
This acquisition is the most recent in a series of analog manufacturing expansions announced by TI over the past 24 months which the company said collectively will add capacity for more than $3.5bn of additional analogue revenue per year when fully operational.

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