Intel once again delays its long-awaited Ohio chip fabrication facilities

Intel announced that it's further delaying plans to open two chip fabrication facilities in Ohio, pushing their completion out to 2030. The company originally announced its plans for Ohio in 2022, with an ambitious opening set for 2025.

Intel says it completed the "basement" level of its Ohio One project last quarter, which allows above-ground construction to get underway now. The $20 billion dollar project is technically split across two different chip fabs, dubbed Mod 1 and Mod 2, which won't be completed at the same time. Mod 1 is now set to open in 2030, to "align the start of production of our fabs with the needs of our business and broader market demand," according to Intel. Mod 2 will be completed the following year in 2031.

A photo of the Ohio One construction site from February 2025.
Intel Corporation

The justification is financial: Intel says it's taking a "prudent approach" that will ensure the chip fabs are completed in a "financially responsible manner." Intel previously told the state of Ohio that it was delaying the fabs until 2027. It also delayed the groundbreaking of the project seemingly to incentivize the passing of the CHIPS Act in 2022, according to a report from The Washington Post.

More delays add to what's been a tumultuous period for Intel as a company. In December, former CEO Pat Gelsinger was pushed out, likely because he wasn't pulling-off Intel's aggressive plans to expand chip production. Prior to that, the funding the company was set to receive through the CHIPS Act was reduced by $600 million. Add in layoffs and the continued dominance of chip makers like AMD, and Intel remains in a tricky spot.

This article originally appeared on Engadget at https://www.engadget.com/computing/intel-once-again-delays-its-long-awaited-ohio-chip-fabrication-facilities-185516274.html?src=rss https://www.engadget.com/computing/intel-once-again-delays-its-long-awaited-ohio-chip-fabrication-facilities-185516274.html?src=rss
Created 6mo | Mar 2, 2025, 6:10:29 PM


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