Intel To Outsource Some Key CPU Production for 2023 Chips to TSMC (tomshardware.com) 31
An anonymous reader shares a report: Intel made several big announcements about its 7nm tech at this week's Intel Unleashed: Engineering the Future event and divulged that it expects that the majority of its products in 2023 to still be produced in-house using its own manufacturing technology. But there's a caveat: Intel CEO Pat Gelsinger said the company will also release "leadership CPU products" in 2023 with CPU cores that are fabricated with an unspecified process node from third-party foundry TSMC, and those CPUs will come to both the client and data center markets. This development comes on the heels of Intel's announcement last year that its 7nm process was delayed, possibly forcing it to do the unthinkable -- turn to external foundries to produce its core logic, like CPUs and GPUs, for the first time in the company's history.
The newest announcements mean that, in addition to the 7nm Meteor Lake desktop chips and Granite Rapids data center processors that Intel will produce with its own process technology in 2023, the company will also release other lines of CPUs in 2023 that will use CPU cores with an as-yet-unspecified process node from TSMC. Intel noted that the chips that utilize TSMC's third-party process tech will power Intel's "CPU leadership" products for both the client and data center markets, suggesting a split product stack. Intel says that the majority of its products in 2023 will come manufactured with its own process technology. Still, it's important to note that Intel hasn't specified that the majority of the newly-released 2023 products will come with its own 7nm process. Naturally, Intel will still have plenty of chip production volume centered on its 14nm and 10nm process tech in that timeframe, and even older nodes that still ship in large volumes. Further reading: Intel To Spend $20 Billion To Build Two New Chip Fabs In Arizona.
The newest announcements mean that, in addition to the 7nm Meteor Lake desktop chips and Granite Rapids data center processors that Intel will produce with its own process technology in 2023, the company will also release other lines of CPUs in 2023 that will use CPU cores with an as-yet-unspecified process node from TSMC. Intel noted that the chips that utilize TSMC's third-party process tech will power Intel's "CPU leadership" products for both the client and data center markets, suggesting a split product stack. Intel says that the majority of its products in 2023 will come manufactured with its own process technology. Still, it's important to note that Intel hasn't specified that the majority of the newly-released 2023 products will come with its own 7nm process. Naturally, Intel will still have plenty of chip production volume centered on its 14nm and 10nm process tech in that timeframe, and even older nodes that still ship in large volumes. Further reading: Intel To Spend $20 Billion To Build Two New Chip Fabs In Arizona.
tells me something (Score:4, Interesting)
tells me that Intel has given up trying to upgrade existing fabs for 7 nm and below. could be because they expect them to be fully booked anyway. could be because they figure they can't make the change, and need new facilities to pull it off. could be because they figure to book a metric shipload of new parts and need more footage to manufacture them. I can believe it's synergy of all of them.
Re:tells me something (Score:5, Informative)
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"given up trying to upgrade existing fabs for 7 nm and below"
Historically, they haven't re-used old fabs for new processes since there's still demand for the older processes. Everybody is supply constrained on almost any process they're still running so if you have the ability to grow capacity it is easy to justify.
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An oversimplification:
-new, top processors on the newest process (n)
-old processors on the "current" process (n-1)
-chipsets on the "past" process (n-2)
And fabs running n-3 are being upgraded to the "future" process
Cutting off AMD/Nvidia Oxygen (Score:5, Insightful)
Guessing that this is just another anti-competitive move by Intel - increase costs/decrease supply for their competitors.
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Given that they're going to build a plant in Arizona to compete with TSMC, I wouldn't be surprised if TSMC backs out and makes Intel look stupid.
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TSMC would rather make a profit in the short term rather than no profit at all. They won’t have any problem selling off capacity to nVIDIA, AMD and a host of others that want 7nm, 5nm and beyond. There are still foundries producing less critical chips at much larger nodes, if needed, they would move them to smaller nodes which saves them money.
There are only a handful of foundries and we are well over a decade since the last major disaster wiped out a significant portion of them.
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Manufacturing (Score:2, Interesting)
Leading edge chip manufacturing left most countries around the world for the Far East starting more than 20 years ago. Still it is extraordinary to see it leave America too. I still find it hard to believe that Intel has given up.
Re:Manufacturing (Score:5, Informative)
You haven't seen any news the past week, have you? LOL
Do a news search "Intel Arizona"
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I'll believe that story when I see the plants up and running with actual chips exiting the shipping docks. Until then, it's just another Wisconsin/Foxconn deal.
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I'll le ya know when they start pouring concrete. This deal is bank.
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Re: Manufacturing (Score:2)
They will. I think, maybe, they've given up on their incremental methods, time to build new
Re: Manufacturing (Score:2)
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Who builds a factory in ... Arizona??
And one for chips too. Things that need it to be cool and *absolutely* dust-free.
That's like putting your kittens in the freezer for "warmth".
Re: Manufacturing (Score:1)
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I see it as Intel hedging their bets. They're investing in new fabs but if they have issues, they have alternates.
Intel's troubles with 7nm are well known, so it wouldn't surprise me if they are giving it more effort. However, in case things go sideways, they have a backup plan.
What Will Happen? (Score:3)
Never count Intel out (Score:3)
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Not even remotely similar. Intel never had a process node stuck for three to four process nodes. Intel never had ALL the Spectre/Meltdown/IME PR nightmares perfect storm *on top of that*. Intel never was at risk of actually going under. Intel never ever outsourced its production.
Unless you mean Intel's dirty tricks, like literally threatening to bankrupt motherboard manufacturers if they dare to make a single Athlon board, by not giving them any chipsets for Intel CPUs.
That, of course, has been, is, and wil
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What's wrong with them? Have they contracted the Boeing MBA disease?
Re: Never count Intel out (Score:1)
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AMD managed to get an edge on Intel despite having to use a worse fabrication process by having a superior design.
Now AMD can get a clear lead on Intel by having both a superior design and being able to use a superior fabrication process.
All Intel ever had going for them was x86 and superior fabrication process. The litany of failed replacement for x86 from Intel is long (iAPX 432, i860, i960 and Itanium) ARM and possibly RISC-V is gunning for them and they no longer have the best process by any stretch of
so basically... (Score:2)
got it...
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Look out... (Score:2)
Better start worrying about China taking over Taiwan.