Intel Considers Outsourcing Some Chip Production to Samsung

Image: Intel

It’s no secret that Intel is considering outsourcing some of its chip production to TSMC, but the world’s reigning semiconductor manufacturer may not be the only one in the running for the lucrative deal. According to a new report from Bloomberg, Samsung is also in talks with Intel about potentially crafting its future processors, the production of which would certainly benefit from the Korean company’s more advanced technologies.

“Intel Corp. has talked with Taiwan Semiconductor Manufacturing Co. and Samsung Electronics Co. about the Asian companies making some of its best chips, but the Silicon Valley pioneer is still holding out hope for last-minute improvements in its own production capabilities,” the publication reported.

Bloomberg’s sources noted that talks with Samsung are at a “more preliminary” stage, however, which seems to suggest that TSMC remains Intel’s top pick for chip production. In the event that a deal is truly formed between these two giants, we might be able to get a glimpse of TSMC’s first Intel processors as early as 2023.

“The Taiwanese company expects to have a new facility in Baoshan operational by the end of this year, which can be converted to production for Intel if required,” sources noted. “TSMC executives previously said the new Baoshan unit would house a research center with 8,000 engineers.”

Intel CEO Bob Swan will reportedly tell investors whether his company will be outsourcing chip production on January 21. “We have another great lineup of products in 2022, and I’m increasingly confident in the leadership our 2023 products will deliver on either Intel 7-nanometer or external foundry processes, or a combination of both,” he said during a conference call in October.

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