Intel is spending $20 billion to build a massive chip manufacturing facility in Ohio

Intel has revealed plans to build a large semiconductor facility in Ohio to Time — a place where company CEO Pat Gelsinger is hoping to become “the largest silicon production site on the planet.” The company is spending $20 billion to build the site on a 1,000-acre site in New Albany, located outside of Columbus, Ohio. Intel’s early plans included building two semiconductor factories (or fabs) on land that could employ 3,000 people. Construction of the site is expected to begin this year, and Intel expects the centers to be operational in 2025.

ONE Bloomberg report back at the end of 2021 stating that the White House “very frustrated“Intel from ramping up chip production in China. The administration has pushed chip companies in the US to address the ongoing global shortage. In turn, the companies have lobbied for the president. funding semiconductor research and production It’s worth it, however, note that because building new factories takes years, projects like this won’t be able to help address shortages anytime soon supply chain.

Intel said it looked at 38 different locations in the US for the facility but ultimately chose Ohio, because of all the space it could use. The company does not want to build in places that may cause residents to relocate, because that is the last thing was killed Amazon plans to build a second headquarters in NYC. Once the process is complete, Intel will use them to manufacture both its own chips and chips for customers under Intel Foundry Services. The company announced its foundry services when disclosure that it is building two plants in Arizona, which will also cost Intel $20 billion, in March 2021.

According to Gelsinger, the chipmaker has the option to expand its Ohio location to 2,000 acres and build up to eight factories in the future. “We helped found Silicon Valley,” says CEO Time. “Now we’re going to do Silicon Heartland.”