AMD is in the early stages of talking with Intel about using Intel's semiconductor factories. This means AMD might let Intel make some of its computer chips. Since the United States is investing heavily in local chip production, this partnership would be a big win for both Intel and the US government.
Right now, Intel has support from big names like Nvidia and Softbank Group, as well as backing from the US government. This support, along with possible new deals, could help position Intel as a leader in American chip manufacturing.
These discussions are still new and have not been finalized. Intel's Foundry business would be responsible for producing chips for AMD if the agreement goes forward. Currently, AMD mainly relies on TSMC, which is the biggest chip manufacturer in the world. TSMC creates chips for companies like Nvidia, Apple, and Qualcomm. Samsung is another major company with chip factories in South Korea and the United States.
Intel is putting a lot of effort into its new chip technology called 18A. Former Intel CEO Pat Gelsinger famously said the company is taking a big risk on this process. Although there have been some challenges, Intel is promising strong performance from these new chips in the coming years.
The success of Intel's new technology is important to the US government, which is supporting American manufacturing through investments and trade policies. While TSMC is building factories in America, its most advanced technology is still in Taiwan.
By supporting Intel, the US government hopes to make the country more self-sufficient in chip production and less dependent on foreign companies. More competition for TSMC would also help prevent any one company from controlling most of the world's chips.
No matter how these talks turn out, the next year is expected to be very important for Intel and the entire American chip industry.
Original article and image: https://www.pcgamer.com/hardware/amd-and-intel-are-in-early-stage-talks-about-signing-a-foundry-commitment-a-win-that-the-struggling-chip-giant-and-us-government-would-both-love/
