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Intel Israel to build the most advanced chip factory: investment of nearly $180 billion

Update time : 2023-06-23 10:55:33

On June 19, Intel's current CEO Kissinger proposed the IDM 2.0 strategy after taking office in 2021, costing $100 billion to build a new fab around the world. In addition to investing $20 billion each in the United States, he has also invested $13 billion in Ireland. A few days ago, he invested $4.60 billion in Poland.

They announced another super investment, which will invest $25 billion to build a chip manufacturing plant in Kiryat Gat, with an investment of nearly 180 billion yuan, Intel's highest investment in the past two years. However, 10 billion of the $25 billion was announced in 2019, and this new addition is $15 billion, which will be used to build a chip manufacturing plant using the world's most advanced technology. It is also the largest foreign investment in Israel's history. The fab is expected to start operations in 2027 and continue to operate until at least 2035, hiring thousands more workers at above-average wages on top of the current 12,000.
Intel's fab tax rate will be raised to 7.5%, which is higher than the 5% level of other Israeli chip makers, but the advantage is that Israeli officials will provide Intel with a 12.8% subsidy. But many details of this fab have not been disclosed, especially what process is mass-produced. Intel only said it was the most advanced and unprecedented. According to Intel's current roadmap, they will mass-produce the 18A process in 2024, which is equivalent to the 1.8nm friend process, and the Israeli factory will operate in 2027, at least the next generation or even the next generation of processes, and it is possible to approach the node below 1nm. Intel's goal is to re-emerge as a leader in the semiconductor process by 2025, and the new plant in 2027 will naturally not lag behind in the process. After all, a $25 billion investment is really expensive.

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