Intel’s creating its own contract foundry business to rival TSMC and help solve the chip supply crisis

Intel’s creating its own contract foundry business to rival TSMC and help solve the chip supply crisis

Intel’s new CEO, Pat Gelsinger, has announced plans to transform Intel into a global leader in silicon manufacturing. It’s going to go from focusing on producing its own chips, to using its fabs to produce chips for others as well. It isn’t doing it purely for altruistic reasons either, as Intel sees the silicon manufacturing market as being worth $100bn by 2025.

Given the state of silicon demand right now, a major player like Intel offering out fab space to fabless companies has got to be tempting, even to traditional competitors likes AMD and Nvidia. If all goes as Intel’s way, it could well be the case that your next AMD CPU could be produced by Intel and the same for your next Nvidia graphics card. Though that potential future is a long way down the line yet.

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