Intel is Spending $20 Billion to Build Two New Chip Plants in Arizona

Intel announced on Tuesday that it will spend $20 billion to build two new chip factories, called fabs, in Ocotillo, Arizona.

Intel stock rose as much as 5% on the news in extended trading on Tuesday.

The announcement, coinciding with new CEO Pat Gelsinger’s first public remarks since taking over the job, signals that Intel will continue to focus on manufacturing during industry shifts that have led competitors to increasingly separate chip design and chip fabrication.

The news comes during a global chip shortage that is snarling industries from automobiles to electronics and worries the U.S. is falling behind in semiconductor manufacturing.

Source: CNBC

Posted By: swarfega
23 Mar 2021