Globalfoundries announced plans to double its capital spending in 2011 to $5.4 billion. This is significantly more than analysts were expecting and would make Globalfoundries rank third among chip makers, only Intel and Samsung have higher capital expenditures.
Capex of $5.4 billion would rank Globalfoundries third among chip makers in 2011, according to a preliminary estimate of 2011 semiconductor industry capital expenditures compiled by Gartner Inc. late last year. The Gartner data projected that Globalfoundries would spend $3.2 billion on capital spending.
Spending $5.4 billion on capital expenditures in 2011 would move Globalfoundries past the world's largest chip maker, Intel Corp. Globalfoundries would still be outspend by Samsung Electronics Co. Ltd. and foundry rival Taiwan Semiconductor Manufacturing Co. (TSMC), which are projected to spend $9.2 billion and $5.7 billion, respectively, according to the Gartner data.