Intel to invest $20 billion in two new Ohio fabs
The US chipmaker announces that it will invest more than USD 20 billion to build two new factories and to establish a new epicenter for advanced chipmaking in the Midwest.
The company says that the investment in Ohio will help boost production to meet the surging demand for advanced semiconductors and also serve the needs of foundry customers as part of the company’s IDM 2.0 strategy.
To support the development of the new site, Intel has also pledged an additional USD 100 million toward partnerships with educational institutions to build a pipeline of talent and bolster research programs in the region.
“Today’s investment marks another significant way Intel is leading the effort to restore U.S. semiconductor manufacturing leadership,” said Pat Gelsinger, CEO of Intel in a press release. “Intel’s actions will help build a more resilient supply chain and ensure reliable access to advanced semiconductors for years to come.”
The investment from Intel is described as the largest single private-sector investment in Ohio history. The initial phase of the project is expected to create 3,000 Intel jobs and 7,000 construction jobs over the course of the build. Intel says that the site – which spans nearly 1,000 acres in Licking County, just outside of Columbus – can accommodate a total of eight chip factories. At full buildout, the total investment in the site could grow to as much as USD 100 billion over the next decade.
“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,” the CEO continues.
Planning for the first two factories will start immediately, with construction targeted to begin late in 2022. Intel says that it expects production to come online in 2025. Ohio will be home to Intel’s first new manufacturing site location in 40 years.