One of the reasons we chose the name “Fabrica” Ventures was because a semiconductor fabrication plant is known as “Fab”. Since we are based on the birthplace of the fabs, nothing more natural than to acknowledge this mega technological breakthrough in our name, as Silicon Valley celebrates the semiconductor’s raw material.
Because of data and AI innovation revolutions, the demand for semiconductors seems to be interminable – humankind has been producing more transistors than grains for years now. Therefore, there are currently more than 70 new semiconductor fabs being built. To give a few recent examples:
* Samsung Electronics and memory maker SK hynix will spend $471B!! to establish a new chip hub in South Korea.
* The two fabs that TSMC is currently building near Phoenix, Arizona are expected to cost $40B.
* Intelannounced plans for two processor fabs in Ohio that are expected to cost over $20B. The fabs will be located on a nearly 1,000-acre megasite that can in theory accommodate eight fabs. According to Intel, its total investment in the campus could reach as much as $100B over the next decade. In addition, Intel has allocated €30B for a fab project in Germany.
* Micron Technology detailed plans to build a $15B memory chip plant near its Bose, Idaho headquarters. The company also announced that it will spend up to $100B to build a cutting-edge memory chip plant in New York.
* OpenAI CEO Sam Altman is seeking to raise billions of dollars for a new chip manufacturing venture.
* Etc., etc.
In this race, the center to periphery gap only enlarges.
Commodities for some, differentiation for others.
E la nave va.