Intel announced plans for an initial investment of more than $20 billion in the construction of two new leading-edge chip factories in Ohio. The investment will help boost production to meet the surging demand for advanced semiconductors, powering a new generation of innovative products from Intel and serving the needs of foundry customers as part of the company’s IDM 2.0 strategy.

To support the development of the new site, Intel pledged an additional $100 million toward partnerships with educational institutions to build a pipeline of talent and bolster research programs in the region.

A rendering shows early plans for two new leading-edge Intel processor factories in Licking County, Ohio. Announced on 21 Jan 2022, the $20-billion project spans nearly 1,000 acres and is the largest single private-sector investment in Ohio history. Construction is expected to begin in late 2022, with production coming online at the end of 2025. (Credit: Intel Corporation)

As the largest single private-sector investment in Ohio history, the initial phase of the project is expected to create 3,000 Intel jobs and 7,000 construction jobs over the course of the build, and to support tens of thousands of additional local long-term jobs across a broad ecosystem of suppliers and partners. Spanning nearly 1,000 acres in Licking County, just outside of Columbus, the “mega-site” can accommodate a total of eight chip factories—also known as “fabs”—as well as support operations and ecosystem partners. At full buildout, the total investment in the site could grow to as much as $100 billion over the next decade, making it one of the largest semiconductor manufacturing sites in the world.

Planning for the first two factories will start immediately, with construction expected to begin late in 2022. Production is expected to come online in 2025, when the fab will deliver chips using the industry’s most advanced transistor technologies. Ohio will be home to Intel’s first new manufacturing site location in 40 years.

In addition to Intel’s presence in Ohio, the investment is expected to attract dozens of ecosystem partners and suppliers needed to provide local support for Intel’s operations—from semiconductor equipment and materials suppliers to a range of service providers. Investments made by these suppliers will not only benefit Ohio but will have a significant economic impact on the broader US semiconductor ecosystem. As part of today’s announcement, Air Products, Applied Materials, LAM Research and Ultra Clean Technology have indicated plans to establish a physical presence in the region to support the buildout of the site, with more companies expected in the future.

To help develop and attract a pipeline of skilled talent from within the region, Intel plans to invest approximately $100 million over the next decade in partnership with Ohio universities, community colleges and the US National Science Foundation. These partnerships will span a range of activities, from collaborative research projects to building semiconductor-specific curricula for associate and undergraduate degree programs.

In addition to providing capacity for Intel’s leading-edge products, these new factories will support growing demand for the company’s new foundry business, Intel Foundry Services (IFS).

With IFS, Intel is opening its factory doors wide to serve the needs of foundry customers around the globe—many of whom are looking for more geographical balance in the semiconductor supply chain. The Ohio factories are designed for the ‘Angstrom era,’ with support for Intel’s most advanced process technologies, including Intel 18A. These technologies are critical for enabling next-generation foundry customer products across a range of applications, from high-performance mobile to artificial intelligence.

—Dr. Randhir Thakur, senior vice president and president of Intel Foundry Services

The Ohio site will also provide leading-edge process technology to support the US government’s unique security and infrastructure needs.