AT&T and Cirrus Logic Form Joint Manufacturing Venture; Total Investment Valued at About $600 Million.ORLANDO, Fla.--(BUSINESS WIRE)--Oct. 23, 1995--AT&T Microelectronics and Cirrus Logic (company) Cirrus Logic - A manufacturer of integrated circuits including the Advanced RISC Machine and display interface processors and cards for use as Windows accelerators (requiring dedicated driver software). http://cirrus.com/. , Inc., two of the fastest-growing companies in the semiconductor industry, today announced an agreement to form a $600 million joint manufacturing venture here. The joint venture will enhance each company's ability to meet the unprecedented worldwide demand for advanced integrated circuits Integrated circuits Miniature electronic circuits produced within and upon a single semiconductor crystal, usually silicon. Integrated circuits range in complexity from simple logic circuits and amplifiers, about 1/20 in. (1. , which are used increasingly in products such as computing computing - computer equipment, cellular phones, and other electronic devices. It will operate in a newly constructed clean room within an existing AT&T semiconductor fabrication fabrication (fab´rikā´sh  n),n the construction or making of a restoration. facility here. The new venture will be owned 60 percent by AT&T and 40 percent by Cirrus Logic, and is slated to begin production by early 1997. The companies will equally share the production output of the newly added capacity, which will focus initially on 0.35-micron processing of silicon wafers wafers compressed roughage in flat plates useful for feeding to animals in transit. . The joint venture's business plan calls for a migration to a 0.25-micron process which is well along in development. When the joint venture is fully operational, the site's output will be more than twice its current output. The joint venture will operate as a separate entity under the direction of the partners through a five-person board of directors, with three directors from AT&T and two from Cirrus Logic. The venture will be named before it begins operations. The companies are taking the step to meet the increasing need for semiconductors, fueled largely by the growth of the computer, communications and consumer electronics markets. Under the agreement, AT&T and Cirrus Logic will share in the facility-expansion cost of about $600 million, which the companies will spend over a three- to four-year period. The agreement has an initial term of 10 years. AT&T will provide process technology developed by Bell Laboratories to the new venture. Activities of the joint venture will be focused on the manufacture of semiconductor wafers, and will not encompass product licenses or product exchanges. The joint venture is expected to create about 600 new jobs, which will be filled by AT&T, within the facility. The joint venture will finance the new jobs. John Dickson For the theologian and author, see . John Dickson (June 1, 1783 - February 22, 1852) was a U.S. Representative from New York. Born in Keene, New Hampshire, Dickson was graduated from Middlebury (Vermont) College in 1808. He studied law. , vice president of AT&T Microelectronics' Integrated Circuits Group, said: "The demand for our companies' chips is outpacing our ability to produce them, and we don't project this demand to let up any time soon. The most efficient way to meet this challenge is to partner with another company. We're fortunate to have found a partner whose commitment to technology and world-class manufacturing matches our own." Michael L. Hackworth, president and chief executive officer of Cirrus Logic, said: "We expect our partnership with AT&T to both enhance and accelerate our program to expand our manufacturing capability. And, it will allow us to evolve to finer processing geometrics ge·o·met·rics n. (used with a pl. verb) 1. Geometric qualities or properties. 2. A pattern or design characterized by the use of geometric figures: , which will yield semiconductors that are faster, consume less power and provide high functionality at lower cost. "We're particularly enthused about the skilled workforce in Orlando, which should enable us to ramp quickly to high-volume production," Hackworth said. Cirrus Logic (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :CRUS crus (krus) pl. cru´ra [L.] 1. leg (1). 2. a leglike part. crus ce´rebri ) is a leading manufacturer of advanced integrated circuits for the desktop and portable computing, telecommunications and consumer electronics markets. The company applies its system-level expertise in analog and digital design to innovate in·no·vate v. in·no·vat·ed, in·no·vat·ing, in·no·vates v.tr. To begin or introduce (something new) for or as if for the first time. v.intr. To begin or introduce something new. highly integrated, software-rich solutions. Cirrus Logic has developed a broad portfolio of products and technologies for applications spanning multimedia, communications, mass storage, and data acquisition. AT&T Microelectronics is one of the world's leading providers of high-performance integrated circuits, optoelectronics components, circuit boards and power systems for applications in the telecommunications and computing industries. AT&T Microelectronics will be a major component of the new systems-and-technology company that will be spun off from AT&T by the end of 1996. CONTACT: Cirrus Logic Tom Rigoli, 510/226-2259 or AT&T Mike Jacobs Mike Jacobs can refer to:
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