Intel’s Ohio semiconductor factory will be the largest in the world

Intel announced on Friday that it will invest over $20 billion to construct a series of semiconductor factories in Ohio.

The site will be the "largest single private-sector investment in Ohio history," according to the company. Intel plans to build eight chip manufacturing factories.

“The investment will help boost production to meet the surging demand for advanced semiconductors, powering a new generation of innovative products from Intel and serving the needs of foundry customers,” said Intel in a press release.

Intel is in Ohio.

An investment of more than $20 billion in two new leading-edge chip factories will ensure reliable access to advanced #semiconductors.

Learn more about #IntelOhio: https://t.co/6lr98DOiTh pic.twitter.com/6BKxP6lj1u

— Intel News (@intelnews) January 21, 2022

Intel plans to begin its operations by building two factories in Licking County, Ohio. The project’s initial phase will create 3,000 new Intel jobs and 7,000 construction jobs. Construction is expected to start in late 2022, and production will begin in 2025.

“Today's announcement is monumental news for the state of Ohio," said Ohio Gov. Mike DeWine in a press release. "Intel's new facilities will be transformative for our state, creating thousands of good-paying jobs in Ohio manufacturing strategically vital semiconductors, often called 'chips.' Advanced manufacturing, research and development, and talent are part of Ohio's DNA, and we are proud that chips — which power the future — will be made in Ohio, by Ohioans."

Throughout the pandemic, there has been a shortage of semiconductors, which in turn has delayed the release of other products, including cars, phones and medical equipment. The new Ohio projects would reduce U.S. dependence on Taiwanese manufactured chips, which make up 60 percent of the semiconductor production.

“Today’s investment marks another significant way Intel is leading the effort to restore U.S. semiconductor manufacturing leadership,” said Pat Gelsinger, CEO of Intel. “Intel’s actions will help build a more resilient supply chain and ensure reliable access to advanced semiconductors for years to come. Intel is bringing leading capability and capacity back to the United States to strengthen the global semiconductor industry. These factories will create a new epicenter 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.”

Intel also announced new plans to build semiconductor factories in Arizona in September.

To Increase chip production in the U.S., the Biden administration is urging Congress to help boost semiconductor production and address the global shortage.