Intel Expands Global Configuration, Plans To Increase Manufacturing Capacity By 30% Within Five Years

According to the “Economic Daily”, after Intel launched the “IDM 2.0” strategy, it actively expanded its global presence. Intel’s internal plan is to increase the production capacity of its factories by 30% within five years before 2026. This includes the addition of production capacity in Ireland, Israel and the United States from 2023 to 2024. Of course, Intel hopes to challenge TSMC in the chip market.

Based on the strong expansion of production, the competition and cooperation between Intel and TSMC may become more intense, especially as Intel continues to strengthen the pace of advanced manufacturing. With the continued expansion of its own production capacity, Intel’s plan and order volume for its central processing unit (CPU) orders will go to TSMC’s 3nm production from 2023. This attracts a lot of attention. industry attention.

TSMC has new factories in the United States and Japan, however, its European presence is only just beginning. In terms of global expansion, Intel’s global setup is faster than TSMC’s. Its wafer production bases include Arizona, Oregon and other states in the United States, Ireland in Europe, and the border between Europe and Asia. It also has factories in Israel, China, and assembly and testing plants in New Mexico, Costa Rica and Malaysia.

Intel’s global expansion plan is huge

Intel’s plan for European expansion is gradually becoming clear, and the fabulous may well be in Germany. The R&D and design center will be built in France, and the conditioning and testing plant will be built in Italy. According to industry news, the company will build at least one wafer manufacturing plant in the United States and Europe. It will also seek a location to build a new state-of-the-art packaging plant. This will help the company to increase its production capacity by 30% by 2026.

Intel’s IDM 2.0 strategy revolves around three main areas. The expansion of capacity underlines that the company will continue to produce most of the products in-house. Second, it intends to expand the provision of foundry services to become local foundries in the Americas and Europe. To this end, it has also created an independent business unit, Intel Foundry Services (IFS). Finally, Intel will expand the use of the capacity of third-party foundries, including TSMC.

In order to boost competitiveness, Intel’s capital expenditure this year is expected to increase from $ 18 billion to $ 19 billion, and next year’s capital expenditure is expected to increase to $ 25 billion to $ 28 billion, an increase of $ 25 billion to $ 28 billion. at least 30%. Earlier, Intel announced it would invest $ 20 billion to build two new factories on the Ocotillo campus in Arizona, United States.

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