Intel plans to build the world's largest chip-making facility in Ohio with $20 billion initial investment
Intel does not intend to depend on TSMC for more than a few years. In order to secure its competitive edge for the rest of the decade, Team Blue is now looking to build a mega-site spanning nearly 1,000 acres in Licking County, just outside of Columbus, Ohio. This area could eventually become Intel’s main production center, accommodating a total of eight chip factories valued at more than $100 billion.
The plan is to start construction for two out of eight factories by late 2022. Production is expected to come online in 2025, when the fabs will deliver chips using the industry’s most advanced transistor technologies. Intel CEO Pat Gelsinger stated that the new facilities in Ohio “will help build a more resilient supply chain and ensure reliable access to advanced semiconductors for years to come. Intel is bringing leading capability and capacity back to the United States to strengthen the global semiconductor industry. These factories will create a new epicenter for advanced chipmaking in the U.S. that will bolster Intel’s domestic lab-to-fab pipeline and strengthen Ohio’s leadership in research and high tech.”
For the initial phase of the project, Intel expects to create 3,000 chip development jobs plus 7,000 construction jobs, and to support tens of thousands of additional local long-term jobs across a broad ecosystem of suppliers and partners. Keyvan Esfarjani, Intel senior VP of Manufacturing, Supply Chain and Operations explains that “building this semiconductor mega-site is akin to building a small city, which brings forth a vibrant community of supporting services and suppliers. Ohio is an ideal location for Intel’s U.S. expansion because of its access to top talent, robust existing infrastructure, and long history as a manufacturing powerhouse.”
This new mega-site will also help support the growing demand for Intel’s Foundry Services (IFS) as part of the IDM 2.0 strategy. Thus, intel will be able to provide “Angstrom era” technology (18A transistors) for worldwide customers that are designing next gen products from high-performance mobile to artificial intelligence applications.