This is how Intel is going to fill the fabs, folks. Not by playing foundry for Apple, but by methodically expanding its chip volumes into new markets.
Within a year, Intel will have ~30%+ of the tablet market. It will be interesting to see how much of the smartphone market it takes with Merrifield. Oh, and I hope to goodness Intel moves its LTE chips to its own fabs (I hear they're either at TSMC or UMC, thanks to pre-existing Infineon relationships) soon...that could be another capacity soaker.