In response to a global economic slowdown Intel is instituting some cost-cutting measuring, including holding off on the start of construction of a four-story, 320,000-sf office building on its campus in Chandler. Intel had hoped to start construction this year, but now development of the building will be put off indefinitely. The office building was to be built adjacent to the new fabrication plant. In the past year, Intel's workforce in Arizona has increased from 8,000 to 10,000.

Work will continue on the $2-billion fabrication plant, deemed Fab 22, on the 700-acre Ocotillo Campus in southern Chandler, says a company spokesperson. The new fabrication facility will have approximately 360,000-sf, 133,000-sf of which will be clean room. The new Fab will be the first Intel facility capable of producing circuits as small as 0.13 microns, 0.05 microns smaller than what the company is able to make currently.

The Fab is expected to be completed by year-end.