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Intel to Invest $100 Billion to Develop Semiconductor Fabs Across Four States in USA

Last Updated on 20th March 2024

Intel plans to invest more than USD 100 billion in the U.S. over five years to expand chipmaking capacity and capabilities in Arizona, New Mexico, Oregon, and Ohio. The Biden  Administration has signed a non-binding preliminary memorandum of terms to grant Intel USD 8.5 billion in direct funding for commercial semiconductor projects under the CHIPS and Science Act. 


Intel to Invest $100 Billion to Develop Semiconductor Fabs Across Four States in USA

Ohio site


Furthermore, Intel would also have the option to draw upon federal loans of up to USD 11 billion. Additionally, Intel hopes to secure USD 25 billion in tax breaks. CHIPS Act funding aims to increase U.S. semiconductor manufacturing and research and development capabilities, especially in leading-edge semiconductors. The proposed funding would help advance Intel’s critical semiconductor manufacturing and research and development projects.


The CHIPS Act proposed funding would support Intel’s investments in projects such as:



Investment (In USD)


The Silicon Desert

USD 32 Billion

New Mexico 

The Silicon Mesa

USD 4 Billion


The Silicon Heartland

USD 28 Billion


The Silicon Forest.

USD 36 Billion


Intel CEO Pat Gelsinger said, “Today is a defining moment for the U.S. and Intel as we work to power the next great chapter of American semiconductor innovation. AI is supercharging the digital revolution and everything digital needs semiconductors. “


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The historic investment will create thousands of new company positions and construction jobs, foster U S based R&D, strengthen U.S. supply chains, and help ensure American leadership in leading-edge semiconductor manufacturing and technology capabilities.


In addition to its significant investments to expand U.S. manufacturing capacity, Intel is on track to deliver five semiconductor process nodes in four years and expects to return to process technology leadership by 2025 


Read: GlobalFoundries Receive $1.5 Billion From US Government to Expand Semiconductor Production


Arizona: The Silicon Desert


Intel to Invest $100 Billion to Develop Semiconductor Fabs Across Four States in USA

Intel Arizona site 


In Arizona, Intel is investing more than USD 32 billion to build two new leading-edge chip factories and modernize an existing fab at its Ocotillo campus in Chandler, Arizona, that will produce the world’s most advanced logic chips. The announcement was made in March 2021 to build two new leading-edge chip factories in Arizona. 


Arizona is Intel’s U.S. manufacturing powerhouse, with four fabs in operation and two fabs under construction for a total of six fabs producing more advanced logic chips than any other site in the U.S.


To learn more about the project in Arizona, explore our US semiconductor database.


Read: Amkor to Build $2 Billion Semiconductor Fabrication Facility in Peoria City, USA


New Mexico: The Silicon Mesa

The silicon mesa project in New Mexico aims to invest more than USD 4 billion to equip its operations for the manufacturing of advanced semiconductor packaging technologies, including Foveros, Intel’s breakthrough 3D packaging technology.


The New Mexico site in Rio Rancho helps advance the company’s innovation in packaging. The site currently develops and manufactures Intel Optane technology, embedded multi-die interconnect bridges and Intel silicon photonics technology. These technologies play an important role in optimizing semiconductor memory, packaging, and connectivity.


To learn more about the project in New Mexico, explore our US semiconductor database. 


Read: Intel Opens Semiconductor Fabrication Plant in New Mexico


Ohio: The Silicon Heartland

Intel is planning to invest more than USD 28 billion to construct two new leading-edge chip factories in New Albany. Intel will construct two new, leading-edge fabs that will produce the most advanced semiconductor processors in the U.S. Additionally, the project will provide capacity for Intel Foundry customers as demand for leading-edge U S made chips increases.


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 support tens of thousands of additional local long-term jobs across a broad ecosystem of suppliers and partners. 


To learn more about the project in Ohio, explore our US semiconductor database. 


Read: SK Hynix Plans to Build a $15 Billion Semiconductor Packaging Plant in Indiana


Oregon: The Silicon Forest

Intel plans to invest more than USD 36 billion in Hillsboro, Oregon. which will enable Intel to deliver industry-leading process technology beyond 2025. Intel will expand and modernize its technology development facilities to support the development and production of future process nodes, enabling Intel to invent and deliver the process technologies of the future.


Intel will utilize the world’s first high-numerical aperture extreme ultraviolet (High-NA EUV) lithography. Oregon is the heart of Intel’s leading-edge semiconductor research and technology development efforts and the largest semiconductor innovation cluster in the U.S.


To learn more about the project in Oregon, explore our US semiconductor database.


Read: Photolithography: The Art of Pattern Transfer in Semiconductor Fabrication Process


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