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Microsoft has signed a new agreement with Singapore-based Chartered Semiconductor to manufacture the new 65nm CPU. The new CPU should require less power to operate and therefore produce less heat. Another benefit will be the lower manufacturing costs, something which Microsoft has planned to do from the offset with the Xbox 360.
“We are excited to expand our manufacturing relationship with Microsoft and leverage the innovative 65nm SOI technology made available to us through our agreement with IBM,” commented Kay Chai Ang, SVP of fab operations at Chartered. “By working closely with IBM to enable manufacturing compatibility and dual-sourcing capability, our goal is to continue to be a reliable manufacturing source to Microsoft.“
The first of these new CPUs will begin to appear in Xbox 360 consoles from Q1 2007. Current owners of an Xbox 360 needed be worried by this news, as the new CPU won’t bring about improved performance. However, a cooler running CPU could allow Microsoft to reduce the cooling required inside the sleek white box, perhaps resulting in reduced operating noise.