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Intel wants to boost U.S. chip manufacturing, but it needs to catch on first

Intel wants to boost U.S. chip manufacturing, but it needs to catch on first

Intel has announced He plans on Tuesday Spend $ 20 billion to build new chip manufacturing factories. The move aims to show that the company and the US are regaining global leadership in a crucial technology. But it also highlights the extent to which Intel and the U.S. have lagged behind.

As part of his plan, Intel he said he would open his factories more widely to make shavings for other companies, highlighting manufacturing specialization and ambition. But at the same time, Intel said it would shift production of its most advanced chips to Taiwan Semiconductor Manufacturing Company. TSMC is ahead of Intel in using ultraviolet ultraviolet lithography (EUV) by tightening the transistors on the chip next to each other to put more power into the computer.

“The good news for the United States is that Intel is doubling its manufacturing business,” he says Saif Khan, A researcher at Georgetown University Center for Security and Emerging Technologies. “Chip manufacturing is a key source of economic competitiveness in the United States and is also very important for national security.”

Khan, who is looking at the implications of chip manufacturing policy, said the concentration of chip production in Taiwan and South Korea over the past decade has put the U.S. and other economies at risk. Supply strikes and geopolitical conflicts can cripple entire industrial sectors. “The situation is scary,” he says.

Semiconductor Industry Association, US Industry Group, he said in September that 75 percent of chips are made in Asia today. The U.S. share of global chip manufacturing, from 37 percent in 1990, has dropped to 12 percent. Intel and the U.S. government want to push that back.

Intel CEO, Pat Gelsinger, said Tuesday that the company would spend $ 20 billion building new chip manufacturing plants in Arizona, strengthening its chip-making unit for other companies, and partnering with IBM to research new chip technologies.

Gelsinger also confirmed rumors that Intel would outsource some manufacturing to TSMC, but said the company would keep most of the chip manufacturing at home.

The manufacture of modern microchips is a tremendous feat of engineering, with features reduced to just a few billion in size by extracting more efficiency and computing power from new designs.

Intel is currently making chips with features that are 10 nanometers in size. TSMC is making chips using 7- to 5-nanometer processes; When Intel has a high speed with 7-nanometer manufacturing, TSMC says it will be up to 3 nanometers.

“It’s a pretty deep hole for Intel,” says Linley Gwennap president Linley Group, a chip industry analyst firm. “And it’s not just a matter of throwing money away.”

In order for Intel to regain a stronger position in chip manufacturing, Gwennap says execution will be key, and the company will need to do more to regain its technological side. He says it’s a collaborative plan IBM research on new chip designs and new ways of packaging components could be the most important part of yesterday’s announcement. IBM has several research teams working on new approaches to the design and manufacture of microprocessors.

“I think Intel should help us do a better job of innovating next-generation technology,” he says. “And that’s what Intel really needs.”

A decade ago, Intel was in the world of chip manufacturing. But the company did not anticipate the crucial changes in computing, starting with desktop machines mobile phones, and from general purpose chips to specialized chips Artificial intelligence. Intel also made crucial inaccurate calculations in manufacturing, delaying the use of EUV and leaving behind the most advanced products of recent years.

As Intel stumbles, among other things Kiss, which designs mobile chips and Nvidia, Which sells specialized AI and graphics chips, has gone up. Nvidia has announced plans to acquire Arm. Intel’s manufacturing flaws and the rise in custom chips have coincided with the shift to chip manufacturing in Asia, as Samsung and TSMC now make many of the most advanced chips in the world. Other foundries in Asia, such as UMC in Taiwan and SMIC in China, make less advanced chips.

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