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March 23, 2021 09:30 pm

Intel To Spend $20 Billion To Build Two New Chip Fabs In Arizona

phalse phace writes: During today's "Intel Unleashed: Engineering the Future" webcast, Intel CEO Pat Gelsinger gave an update on the company's future plans and developments, one of which includes a $20 billion investment to build two new chip fabs in Arizona. The new factories are expected to "become a major provider of foundry capacity in the U.S. and Europe" to serve the global demand for semiconductor manufacturing. "To deliver this vision, Intel is establishing a new standalone business unit, Intel Foundry Services (IFS), led by semiconductor industry veteran Dr. Randhir Thakur. IFS will be differentiated from other foundry offerings with a combination of leading-edge process technology and packaging, committed capacity in the U.S. and Europe, and a world-class IP portfolio for customers, including x86 cores as well as ARM and RISC-V ecosystem IPs." "Gelsinger said the foundry business will compete in a market potentially worth $100 billion by 2025," reports CNBC. "A slide displayed by Intel suggested that companies including Amazon, Google, Microsoft and Qualcomm could be customers for the business." The company is also partnering with IBM to improve chip logic and packaging technologies, which will "enhance the competitiveness of the U.S. semiconductor industry and support key U.S. government initiatives."

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