IBM Produces Cell Processor Using New Fabrication Technology

IBM has started production of Cell microprocessors using a new fabrication process, which effectively cuts down the cost of the chips. "The company has begun producing a new, 65nm version of the Cell Broadband Engine at IBM's state-of-the-art East Fishkill, New York microchip production facility," a statement by IBM reads.

Previously IBM and Sony produced Cell processor, which is currently used only inside IBM's BladeCenter servers, Sony's PlayStation 3 game console and some application-specific products, using 90nm process technology. According to analysts from iSupply market tracker, the cost of the chip was as high as $89, making it the third most expensive component of PlayStation 3 game console. The shrink of the fabrication node to 65nm will allow IBM and Sony to cut down the chip cost to $60 or below.

News source: Xbit Laboratories

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And Gentlemen here is a console which has the company on it's knees to manufacture and the consumer down on it's belly to purchase.

Is it really that ground breaking :confused:

The fabrication technology can improve all it wants. Sony will still sell the PS3 at its undesirably high prices to help make up for losses. So this news doesn't effect consumers at all.