GlobalFoundries announced it will invest $5 billion this year in expanding its semiconductor business. The capital expenditure is double as much as previously announced, and is a reaction to recent announcements by Intel and TSMC. I guess this announcement also means that AMD's share in GlobalFoundries will shrink faster than anticipated, as the chip designer doesn't have the funds to keep up with ATIC.
The investment group did not disclose where the additional resources will take place, but there is plenty of locations to invest in: Dresden is getting a a fully equipped second clean room (Fab 9?), a completely new third clean room (Fab 10?), second and third clean rooms in Malta, New York (Fab 11?, Fab 12?), as well as funding the development and building the first semiconductor manufacturing facility in Arabian part of Middle East (Fab 13?). Dubbed "Mega Fab", ATIC will invest six billion U.S. dollars to build it and should come online in 2015.
To us, this announcement makes perfect sense, given the recent change in shareholding structure. Only few weeks ago, Mubadala Abu Dhabi took control over ATIC. According to information available, Mubadala owns around 20% of AMD and their subsidiary ATIC owns 86% of GlobalFoundries.