Supply Chain Council of European Union | Scceu.org
Operations

Intel (INTC) blames Congress for potential Ohio chip factory delay

Intel has plans to expand its business in Ohio with a new factory, but claims it may be slowed down by delayed funding from Congress’ CHIPS Act.

Despite issues with the ongoing semiconductor famine and the scarcity of resources, Intel has moved along with aggressive efforts to bolster its chip fabrication facilities. However, one of its latest efforts may be delayed due to a lack of expected funding from Congress through the CHIPS Act. Intel has shared that its expansion into Ohio with a new factory may be delayed or scaled back if Congress doesn’t come through with said funding.

Intel shared word of the possible delay in its Ohio expansion in a statement released on June 23, 2022, as reported by CNBC. According to the statement, Intel is concerned about the delays it has seen in Congress in regards to the pending CHIPS Act, which was supposed to provide around $52 billion USD in government funding to computer part manufacturing in order to combat the semiconductor famine and strengthen the US’s technology sector. Intel announced its plans to build a processor factory in Ohio earlier in 2022 with Ohio Governor Mike DeWine’s support. Unfortunately, Intel shared in its statement that funding from the CHIPS Act has “moved more slowly than we expected.”

A render shows Intel's plans for its Ohio factory, which is expected to be opened by 2025 if all goes as planned.
A render shows Intel’s plans for its Ohio factory, which is expected to be opened by 2025 if all goes as planned.

Intel has been aggressive in moving to expand and combat chip shortages, especially in 2022. The company also announced the opening of a $3 billion USD expansion to its chip fabrication facility in Oregon back in April and has been moving to expand into the GPU market with its newly announced line of gaming-centered Intel ARC products which were first announced in late 2021. In its statement, Intel suggested that Congress needs to act soon if work on its Ohio expansion is to move along smoothly.

“It is time for Congress to act so we can move forward at the speed and scale we have long envisioned for Ohio and our other projects to help restore U.S. semiconductor manufacturing leadership and build a more resilient semiconductor supply chain,” Intel said in its statement.

Speed and US Congress aren’t exactly terms that come together very often, but as the nation continues to combat economic issues and scarcity of semiconductor resources, it seems the CHIPS Act may need to move along sooner than later for groups like Intel to avoid complications.

TJ Denzer is a player and writer with a passion for games that has dominated a lifetime. He found his way to the Shacknews roster in late 2019 and has worked his way to Senior News Editor since. Between news coverage, he also aides notably in livestream projects like the indie game-focused Indie-licious, the Shacknews Stimulus Games, and the Shacknews Dump. You can reach him at [email protected] and also find him on Twitter @JohnnyChugs.

Related posts

East London’s Button Factory Lofts blend rustic and industrial finishes

scceu

Gamasutra – Press Releases- XSEED Games Launches Rune Factory 4 Special , Definitive Remaster of the Critically Acclaimed RPG Simulation Title!

scceu

Watch: Seed Factory’s spooky Halloween sequel

scceu
`