Intel Corp announced on Friday that it will invest $20 billion in two new advanced chip units in Ohio,
the first phase in a $100 billion “mega-site” that will include eight chip manufacturers.
On the 1,000-acre site in Licking County, just outside of Columbus, the anticipated investment
includes 3,000 permanent jobs and 7,000 construction jobs..
Intel’s efforts to expand, particularly in Europe and the United States, are being driven by Chief
Executive Pat Gelsinger, as the company tries to increase rivalry with worldwide rivals and respond to
a global microprocessor scarcity.
In a statement, Gelsinger stated, “These factories will create a new epicentre for advanced chipmaking
in the United States, bolstering Intel’s domestic lab-to-fab pipeline.”
Chipmakers are scrambling to increase output as chip shortages hit industries all across the world,
from automobiles to consumer gadgets. Intel is also attempting to reclaim its status as the world’s
smallest and quickest chip manufacturer from current leader TSMC, situated in Taiwan.
Intel’s plans for new factories, however, will not alleviate the current supply shortage because such
complexes take years to construct. Chip shortages, according to Gelsinger, are projected to endure
until 2023.
Intel broke ground on two plants in Arizona in September as part of its turnaround plan to become a
major chip maker for external clients. The $20 billion plants will raise Intel’s total number of factories
on its campus in Chandler, Arizona, to six.
The administration of President Joe Biden wants Congress to authorise $52 billion to expand
semiconductor manufacturing in the United States. Last June, the Senate passed a bill, but it is stuck
in the House of Representatives.
The White House announced earlier that Biden would speak on Friday about the US government’s
efforts “to boost the supply of semiconductors, make more in America, and restore our supply chains
here at home.”
According to Intel, Gelsinger will meet with Biden at the White House later on Friday.
Planning for the first two factories will start immediately, with construction expected to begin late in
2022 and production starting in 2025. Intel said.
According to Gartner, Samsung Electronics reclaimed the top spot in 2021 from Intel for the first time
since 2018, and Intel fell to second place with 0.5 percent growth last year, the lowest growth rate
among the top 25 vendors.

By Bizemag Media

Bizemag Media is a reputed name and fast growing MarTech Broadcast Media Firm with success stories in USA, Canada, Europe, Africa & India

Bizemag

FREE
VIEW