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Intel Announces $20 Billion Investment And New Foundry Services

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Intel at its “Engineering the Future” announcement, has unveiled plans to outsource more of its chip production to third-party foundries. The announcement reveals a $20 billion investment into two new fabs in Arizona; and a new branch of the company called Intel Foundry Services.

 

Intel Foundry Services will see the company’s foundries produce chips for other companies according to new CEO, Paul Gelsinger. The announcements constitute a new “IDM 2.0” strategy for Intel’s design and manufacturing, made up of three parts.

 

The first part is called Intel’s in-house manufacturing. This part will continue to serve as a key part of Intel’s design and production of chips. In the second part, the company is expanding the use of external foundries, including TSMC, Samsung, and GlobalFoundries. This will be used in the production of “products at the core of Intel’s computing offerings” for both consumer and enterprise chips, from 2023.

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The third part is the new Intel Foundry Services. This will see Intel begin to manufacture chips for other commercial customers.

 

Intel says the Foundry Services is a “standalone foundry business unit”. The unit will develop the x86, Arm, and RISC-V core chips for external clients using Intel’s technology. The foundries will be located in the US and Europe, with partners including IBM, Qualcomm, Microsoft, Google, etc.

 

The company also announced a new R&D collaboration with IBM. This collaboration focuses “on creating next–generation logic and packaging technologies.” It has not revealed so much about this.

 

Intel announced plans to replace its Intel Developer Forum conference with a new Intel Innovation event planned for October 2021 in San Francisco. This will be part of a new Intel On series of events.

 

 

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