The Fab 11X, with 200,000 sf of clean room space, will be used to produce microprocessors on 300-mm wafers using Intel's 0.13-micron process technology. The facility will transition to 90-nanometer process technology next year.

"This expansion is the embodiment of our long-held belief that especially in the face of challenging economic times we must continue to invest in new products and manufacturing," Paul Otellini, Intel president and COO, said in a press release. He added that the combining of the 300-mm wafers and 90-nanometer process technology also lowers the manufacturing costs, increases productivity and improves the availability of semiconductor products. The new manufacturing technology enabled by the 300-mm technology also provides significant environmental benefits. The chips manufactured at the new facility will require less water and generate fewer emissions per chip than at other plants.