Intel is planning to invest $3.5 Billion in New Mexico in order to help boost US chipmaking. The company is putting this investment out along with Intel's $20 billion budget for two new Arizona fabs.
Intel New Mexico and Arizona Fabs
According to the story by CNet, the plant will reportedly be making processors through Intel's Foveros stacking technology. This will be along with $20 billion allocated for two new Arizona fabs. It is reportedly part of CEO Pat Gelsinger's turnaround plan.
Intel just recently announced a massive $3.5 billion upgrade to a certain chip manufacturing plant in Rio Rancho, New Mexico, that will reportedly help boost a processor stacking technology known as Foveros. The spending, along with $20 billion in order to build two new facilities in Arizona, is actually part of a major effort by Intel to be able to rejuvenate its manufacturing.
Chipmaker to Bring 700 New Jobs
The chipmaker confirmed the upgrade plan which was first reported on CBS' 60 Minutes. The company stated that it will mean 700 new jobs at the site over the course of the next three years. Keyvan Esfarjani, Intel manufacturing chief, detailed the plan at a certain press conference with Michelle Lujan Grisham along with Martin Heinrich and Ben Ray Lujan, two senators from New Mexico, along with Rep. Teresa Leger Fernandez.
The spending also reportedly means 1,000 new construction jobs with work that could start this 2021. Intel reportedly led the chipmaking progress for decades but just recently fell behind to Taiwan Semiconductor Manufacturing Co. Investing in brand new chipmaking plants, which are called fabs, is also part of the major Intel effort to be able to restore its competitiveness under Pat Gelsinger, the new Intel CEO.
Company to Build Chips for Others
The company is also reportedly planning to build chips for others, which is a business that is called a foundry, and also rely on other chip foundries in order to build some of its very own chips. Intel profits have been a bit bearish during the 1st quarter of 2021.
At the particular New Mexico fab, Intel will reportedly increase use of a processor package technology that is called Foveros that Intel reportedly debuted in 2018. This is also the very first used in an efficient but also uncommon chip code that is named Lakefield. A previous roadmap showed Intel would be partnering with Qualcomm in order to create chips.
Read Also: US Labor Board Investigates Two Complaints Alleging Apple of Unfair Labor Practices
Intel to Focus on Manufacturing than Buying Back Stock
Stacking separate chip elements atop each other and connecting them with power distribution as well as communication links is quite difficult technologically. Intel, however, expects that it will increase manufacturing flexibility. It also could be used in order to accommodate chip elements that were made at other chip foundries as well.
Intel is now quite happy with the company's current political efforts to drum up federal funding in order to help the general United States chip industry. Gelsinger noted that Intel will be investing more of its own money instead of spending the capital to buy its own stock, keeping shareholders happy but won't really help the company's research or operations.
Related Article: Amazon to Hire 55,000 Corporate and Tech Roles for Global Expansion Plans | Find Out More
This article is owned by Tech Times
Written by Urian B.
