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Manufacturing Excellence

AMD Lean Transformation
Pushing AMD operational excellence to new heights, AMD utilizes Lean techniques common in automotive manufacturing and other complex manufacturing environments to align all operations to directly meet customer needs. Building on AMD’s unique Automated Precision Manufacturing (APM) technologies, AMD Lean initiatives promise reduced production time, enhanced responsiveness to customer needs, and greater operational efficiency and flexibility.

Automated Precision Manufacturing (APM)
For over a decade, Automated Precision Manufacturing (APM) has allowed AMD to run multiple technology flow variations in its fabs simultaneously, in a fully automated and seamless fashion. Today, this allows for dozens of product types and speed grades to be manufactured in a single AMD fab, using the same tool sets and production lines. This mixed-mode manufacturing is a hallmark of AMD’s unique manufacturing model, and is a fundamental enabler of AMD’s tremendous production efficiency. It is also a key driver of AMD’s rapid technology transitions, by allowing AMD to run research and development wafers in line with actual product wafers, on the same tools and equipment and without interrupting volume production. Download Whitepaper (PDF)

Production Facilities
Fab 36 – Dresden, Germany

AMD began construction of Fab 36, its first 300mm wafer facility, in November 2003.
By November 2004, AMD Fab 36 was ready for equipment.
Fab 36 had its first silicon run in 2005, and first revenue shipments of AMD64 processors produced at the fab began in March of 2006.
Fab 36 is fully converted to 65nm production of AMD64 products and now runs a 45nm pilot line.
AMD is on plan to begin ramping production of its first 45nm products in the first half of-2008 and we expect 45nm products to be available in the market in the second half of 2008.

Fab 38 (formerly Fab 30) – Dresden, Germany

Production began at Fab 30 in 2000.
The facility has been one of the world’s most advanced facilities producing microprocessors on 200mm wafers.
The fab has consistently been ranked as best-in-class across a growing number of SEMATECH benchmarks.
Fab 38 is ramping down 200mm production and utilizing 300mm capacity to augment Fab 36 output.
Fab 38 is expected to operate as a discrete 300mm fab in 2009.

Fab 4x – Luther Forest, New York
AMD is excited about the opportunity to build a new fab in Saratoga County, New York. AMD envisions the need for a new state-of-the-art, 300mm wafer fabrication facility to come online in roughly five years, and has selected the Luther Forest Technology Campus, located in Malta and Stillwater, New York, as the ideal site for that facility.

AMD has until July 31, 2009 in which to notify the State of New York of its intent to proceed with the project. The decision to initiate the project depends on a number of factors, including future market demand. With our growing customer base, leading technology, and the hope for a truly fair and open competitive playing field, AMD is optimistic about prospects for continued growth in the years ahead.

A Comprehensive Manufacturing Model, Front to Back
The Lean transformation spans operations, from the fab floor to back-end facilities. Once a batch of wafers has been produced, it is sent to one of our Test, Mark and Pack facilities:

Suzhou, China - Processor Assembly and Test
Penang, Malaysia - Processor Assembly and Test
Singapore - Processor Test, Mark and Pack

AMD Lean Results:
AMD is a pioneer in semiconductor lean methodologies and has seen significant operational cost savings and improved cycle times at its fabrication facilities in Dresden, Germany since 2005:

31 percent increase in wafer starts per week
72 percent labor productivity improvements
26 percent decrease in monthly wafer costs
23 percent reduction in cycle time per mask layer

In 2006, the AMD Singapore plant increased capacity by 75% and cut production time by nearly 50%.

The Test Mark Package facility also improved material flow by moving from a functional layout to a value stream layout, resulting in 25% backend cycle time improvement.