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Microsoft and Intel strike a deal – potentially worth billions

During its first Foundry event, Intel Foundry Direct Connect, Intel Foundry announced a massive design win. Microsoft CEO Satya Nadella shared that Microsoft has chosen a chip design it plans to produce on the Intel 18A process – a deal potentially worth billion.

During Pat Gelsinger’s keynote during the event, Microsoft Chairman and CEO Satya Nadella stated that Microsoft has chosen a chip design it plans to produce on the Intel 18A process.

This means that Intel will be producing chips, designed by Microsoft for Microsoft.

“We are in the midst of a very exciting platform shift that will fundamentally transform productivity for every individual organization and the entire industry,” Nadella said. “To achieve this vision, we need a reliable supply of the most advanced, high-performance and high-quality semiconductors. That’s why we are so excited to work with Intel Foundry, and why we have chosen a chip design that we plan to produce on Intel 18A process.”

Intel Foundry has design wins across foundry process generations, including Intel 18A, Intel 16 and Intel 3, along with customer volume on Intel Foundry ASAT capabilities, including advanced packaging.

In total, across wafer and advanced packaging, Intel Foundry says that the expected lifetime deal value is greater than USD 15 billion.


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June 13 2024 1:49 pm V22.4.55-2