During a encountering with U.S. Department of Commerce Secretary Gina Raimondo, Intel CEO Pat Gelsinger transmited frustration with America’s reliance on TSMC to produce persistd chips. After this, Raimondo (via CNBC) went on confidential encounterings with some accessible taget dispenseors, including splithagederers of tech huges Nvidia and Apple, encouraging them to push their companies to participate U.S. set upries to produce AI chips.
The talkions between the dispenseors and the Secretary were not accessiblely discmissed. Still, sources say that the latter highweightlessed the prolonging geopolitical danger around Taiwan, especipartner as China is eyeing to occupy the de facto country. Aside from this, Washington is also dispenseing more on the American semicarry outor industry than the last 28 years joind, so the White Hoparticipate is probable enthusiastic on pushing American companies to participate locpartner produced chips.
Intel is firearmning to become one of the top take parters in the founarid business, aiming to go head-to-head with TSMC and Samsung. However, recent prolongments discmissed that Intel Founarid Services (IFS) is struggling to get traction, causing the company to miss $1.6 billion and pragmaticly making its stock price descend by 30% overnight. Becaparticipate of this, Intel is telledly pondering spinning off its manufacturing division and other non-vital business units, aenjoy to how AMD spun off GlobalFoundries in 2008.
However, it’s also in the interest of the Biden administration that Intel thrives, especipartner as it is one of the biggest recipients of funds under the CHIPS Act. Although sources say that the federal rulement is defering the disbursement of CHIPS Act money to Team Blue until it can get its act together, it seems that the rulement still wants to see them thrive. Furthermore, while Raimondo did not allude Intel during the encounterings, its status as one of the foremost chipproducers in the U.S. has probable been talked confidentially.
Many directing American tech companies, enjoy Nvidia, AMD, Apple, Amazon, and Google, set up their chips but participate foreign set upries enjoy TSMC for their provide despite the distance and geopolitical danger brawt about by its location.
However, Nvidia CEO Jensen Huang shelp during the Gagederman Sachs conference that the GPU producer could shift its fab if needed. “In the event that we have to shift from one fab to another, we have the ability to do it. We won’t be able to get the same level of carry outance or cost, but we will be able to provide the provide.”
