INTC to OEM new chips for Microsoft, challenging TSMC's position

At the event, Intel launched the world's first system-level wafer foundry service designed for the artificial intelligence (AI) era (Systems Foundry), and announced that Microsoft will use the Intel 18A process to build new chips. Intel also announced its goal of becoming the world's second largest foundry by 2030, challenging TSMC.

The event attracted customers, ecosystem vendors and key industry players. U.S. Commerce Secretary Raimondo attended via video, Microsoft CEO Nadella shared his views as an Intel 18A process customer via pre-recorded video, and Arm CEO Haas attended in person.

In his keynote address, Kissinger said that AI is bringing about a profound transformation in the world, impacting perceptions of technology as well as the chips that drive AI technology. He said Intel realized it had to improve its supply chain resilience during the New Crown Epidemic outbreak, and is also now challenged by a poor general economic environment, coupled with geopolitical influences that make supply chain resilience particularly important.

Microsoft has become the latest customer of Intel's 18A process for building new chips designed in-house by Microsoft. Currently, Intel foundry orders amount to about $15 billion, higher than the previous estimate of $10 billion. $Intel(INTC.US)$ $NVIDIA(NVDA.US)$ $Taiwan Semiconductor(TSM.US)$ $Microsoft(MSFT.US)$