1 Intel Confidential

Sustainable Manufacturing in the Consumer Electronics Sector

Sean Aldrich and Len DragoEnvironmental Engineer’s

Intel Corp

Intel Confidential2

Intel Snapshot

Year founded: 1968

Number of employees: over 80,000

Revenues: $37.5 Billion (2008)

Products and services: over 450

Stock symbol: INTC

Worldwide offices and facilities: 294

Intel is the world's leading innovator in advanced silicon technology, with more than 35 years of leadership in computing and communications.

According to BusinessWeek & Interbrand Intel is the world’s 5th most valuable brand

The Intel audio signature is heard somewhere in the world every 40 seconds

Intel Confidential3

Benefits of MooreBenefits of Moore’’s Laws Law

Source: Intel Corporate Technology Group

Core Integer Performance Over Time*Core Integer Performance Over Time*Power reduction Over Time*Power reduction Over Time*

~ 1 Million Reduction In Energy/Transistor Over 30+ Years Delive~ 1 Million Reduction In Energy/Transistor Over 30+ Years Delivering ring Great Performance Within Power EnvelopeGreat Performance Within Power Envelope

Compute Energy Efficiency Compute Energy Efficiency Positive Impact On EnvironmentPositive Impact On Environment

Pentium® Pro Processor

Pentium® -II ProcessorPentium® -IIi Processor

Pentium® 4 Processor

Pentium® 4 Processor EE

Pentium® -D Processor

Core™ 2 Duo Processor X6800

Core™ 2 Duo Extreme QX6700

i486DX2

i486

386

Pentium® Processor

1986 20081988 1990 1992 1994 1996 1998 2000 2002 2004 20061

10

100

1000

10000

Single Core Moore’s Law1970 1980 1990 2000 2005 2010

1.E-07

1.E-06

1.E-05

1.E-04

1.E-03

1.E-02

1.E-01

1.E+00

Ene

rgy/

Tran

sist

or (R

elat

ive)

Intel Confidential4

Intel Confidential5

Manufacturing Approach to Sustainability

Understand the business model

Analyze impacts

Integrate sustainability throughout the business model

Accountability

Continuous improvement

Intel Confidential6

Intel EHS Intel EHS Technology Engagement Engagement ModelModel

YEARS to High Volume Manufacturing

Abi

lity

to E

ffect

Cha

nge

6 4 2 0

Manufacturing RampSupplier R&DExternal Research Process Development

Commercialization Phases Demonstration Ramp to HVM

Very early engagement

through universities

and government

labs

Early engage-

ment through supplier targets

Optimum Time to effect change

in technologyTechnology

frozen, major changes

require much more effort -

use continuous

improvement

Research

8

Intel Confidential7

Intel Manufacturing Model

2-year “Tick Tock”– Manufacturing process– Chip architecture

Long development, short manufacturing cycles– Copy exactly

Research &Research &Pathfinding Pathfinding

DevelopmentDevelopment ManufacturingManufacturing

Gen 2Gen 2Gen3Gen3 Gen 1Gen 12 years2 years2 years

ManufManuf ProcessProcessDevelopDevelop

ManufManuf

Copy exactly

Dow Jones Sustainability Index, Technology Super-Sector Leader – 8 years

ManufManuf

ManufManuf

Intel Confidential8

Process Technology Eco-Improvement Model

Campus EnvironmentalMaster Plans

Campus EnvironmentalMaster Plans

New TechnologyDevelopment

New TechnologyDevelopment

Set GoalsSet GoalsTechnology

Transfer and Ramp

TechnologyTransfer and

Ramp Quarterly Data feedbackQuarterly Data feedback

ManagementReview Team

Master Planning

Equip. Selection

Factory Design

Stakeholder InputStakeholder Input

Emerging IssuesEmerging Issues

One cycle pertechnology generation

1, 5

2

3

4

Intel Confidential9

Accountability

Develop indicators

Set corporate goals

Performance to goals– Measure

– Audit

Report to management

Public reporting

152 Projects completed in 2007Complete > 200 projects in our operations, products and communities that benefit the environment

Continuous Improvement

Released halogen-free flash products. Pulled in CPU/chipset plans.

Introduce halogen-free materials in new CPU, chipset and flash memory products

Product Ecology

Back on track as factory loadings increased in Q4.

Reduce greenhouse gas emissions per production unit by 30%(2004 Baseline)

Greenhouse Gases

A CS/PTD team has been formed; 1st team deliverable (new water goal) was approved by C&NRSCS in January.

Reduce normalized water usage below 2005 levels

Water Use

2007 RESULTSAbsolute/

Normalized

Chemical recycle now includes fuel blending

Recycle > 70%Chemical & Solid Waste

COMMENTMEASUREMENT/TARGET (By 2010)

PARAMETER

152 Projects completed in 2007Complete > 200 projects in our operations, products and communities that benefit the environment

Continuous Improvement

Released halogen-free flash products. Pulled in CPU/chipset plans.

Introduce halogen-free materials in new CPU, chipset and flash memory products

Product Ecology

Back on track as factory loadings increased in Q4.

Reduce greenhouse gas emissions per production unit by 30%(2004 Baseline)

Greenhouse Gases

A CS/PTD team has been formed; 1st team deliverable (new water goal) was approved by C&NRSCS in January.

Reduce normalized water usage below 2005 levels

Water Use

2007 RESULTSAbsolute/

Normalized

Chemical recycle now includes fuel blending

Recycle > 70%Chemical & Solid Waste

COMMENTMEASUREMENT/TARGET (By 2010)

PARAMETER

Environmental Environmental Planning AtPlanning At

Manufacturing SitesManufacturing Sites

Set Targets for Set Targets for New ProcessNew ProcessDevelopmentDevelopment

Transfer Transfer EnvironmentallyEnvironmentally

Sound ManufacturingSound ManufacturingProcessesProcesses

Intel Confidential10

Summary

“Sustainability” depends on business model

Intel rapid changes–get it right the first time

Manufacturing, product and use of product

Accountability

Intel Confidential11

Questions?

Sustainable Manufacturing in the Consumer Electronics SectorIntel SnapshotBenefits of Moore’s LawSlide Number 4Manufacturing Approach to SustainabilityIntel EHS Technology Engagement ModelIntel Manufacturing ModelProcess Technology Eco-Improvement ModelAccountabilitySummaryQuestions?