Intel to Invest $20 Bn To End the Global Problem of Chip Shortage

The initial phase of the project in New Albany near Columbus, Ohio, 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.

"Intel's actions will help build a more resilient supply chain and ensure reliable access to advanced semiconductors for years to come," said Pat Gelsinger, CEO of Intel.

"These factories will create a new epicentre for advanced chipmaking in the U.S. that will bolster Intel's domestic lab-to-fab pipeline and strengthen Ohio's leadership in research and high tech," he added.

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 programmes in the region.

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, said Intel.

Production is expected to come online in 2025, when the fab will deliver chips using the industry's most advanced transistor technologies.

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.