Chip Giant GlobalFoundries Chooses Jha As Chief

GlobalFoundries, the contract chip maker that grew into the world’s second-largest semiconductor manufacturer having spun out of AMD’s former microprocessor business, has selected former Motorola Mobility chief Sanjay Jha as its new chief executive.

Jha (pictured) takes over from Ajit Manocha, who has served as chief executive since 2011 and will return to his role as advisor to the company.

Experience

“Sanjay is one of the most respected leaders in the technology industry and has a proven track record of consistently delivering shareholder value,” said Ibrahim Ajami, vice chairman of GlobalFoundries’ board, in a statement. “His industry background and experience as a foundry customer will position GlobalFoundries for continued growth.”

Jha first rose to prominence at Qualcomm, serving in various senior roles including that of chief operating officer and head of the company’s chip operations. At Motorola he oversaw the company’s division into two units, Motorola Solutions and Motorola Mobility, as well as Motorola Mobility’s acquisition by Google. Jha was among those suggested as a candidate to lead Intel, a job which ultimately went to Brian Krzanich.

GlobalFoundries was created in 2009 from AMD’s chip manufacturing operations, but grew substantially the following year with the acquisition of Chartered Semiconductor. Jha’s appointment comes ahead of a planned investment of $8 billion (£5bn) to $10bn in the company’s Malta, New York manufacturing plant, which will focus on implementing a 14-nanometre fabrication process, according to the company. About $15bn has been invested in GlobalFoundries since its creation, according to the company.

GlobalFoundries has said it is also planning upgrades to its facilities in Germany and Singapore.

The company, which is the world’s second largest semiconductor foundry by revenue, is based in Silicon Valley but is owned by Advanced Technology Investment Company (ATIC), itself owned by Mubadala Development Company, an investment vehicle of the Emirate of Abu Dhabi, part of the United Arab Emirates (UAE). It competes with Taiwan-based TSMC, the largest independent semiconductor foundry.

Mobile transition

AMD divested its final stake in Globalfoundries in 2012, but remains one of the company’s customers, which also include Broadcom, Qualcomm and STMicroelectronics. The company is said to be in talks with Apple to make some mobile processors at its New York facility.

ATIC has said it expects contract chip makers to continue to see their business expand as more companies outsource chip manufacturing due to the IT market’s transition from PCs to mobile devices.

Globalfoundries and TSMC have both said they are planning to introduce ARM-based mobile chips built using a 20-nm process in 2014.

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