An old adage in electronics states that smaller things always costs more. In the ever-shrinking world of wafers and ICs, the cost of everything from designing the chips to building the plants has skyrocketed to the point where only the largest and most cash-rich manufacturers can survive. At the 45 nm level, a company can spend between $20 to $50 million for a new chip design, and $3 billion for the manufacturing plant. An Electronic Engineering Times article says designing a next-generation 32 nm chip will likely cost upwards of $75 million and the plant will tip the scales at $10 billion.
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