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The conventionally designed 300 mm IC fabricator in an automated environment has many drawbacks such as: high capital outlay and high cost of ownership, long fab construction time, low flexibility for multiproduct and multi-process operation, long process cycle time and high work in process. These drawbacks have an enormous impact on the economics of a 300 mm fab. This paper proposes a new fab architecture and operational philosophy to improve the economics of 300 mm/450 mm fabs. The new fab architecture and design will reduce capital outlay and fab construction time by 50%, increase equipment utilization by 100%, reduce COO by 30%, and reduce both process cycle time and work in process by at least 30%, and cut annual operating expense by 30%. Integral to this new approach is the cooperative alignment of IC makers and equipment suppliers throughout the equipment and fab life cycle. By closely working together, both will reap the economic rewards.