Intel announced on Wednesday that crews installed the first major structural truss at the chip plant in New Albany, Ohio. The installation starts the next construction phase at a project running at least five years behind schedule. The delay has coincided with rapidly increasing demand for advanced chips. Intel Foundry head Naga Chandrasekaran described the milestone as progress toward expanding advanced semiconductor manufacturing capacity in the United States.
Intel initially expected the first Ohio fab to deliver chips in 2025 when the company announced the project in 2022. Intel now targets operations for 2030 or 2031. Intel aims to complete construction of the first fab in 2030. Intel plans to finish a second Ohio fab in 2031 at the same site, northeast of Columbus.
Intel still needs customers to make the investment worthwhile. Reports in September suggested SK Hynix could partner with Intel by leasing Ohio foundry space to manufacture memory chips. SK Hynix is the world's largest producer of high-bandwidth memory. Neither Intel nor SK Hynix confirmed any plans.
The Ohio delay reflects Intel's broader reassessment of the foundry expansion under CEO Lip-Bu Tan. Former CEO Pat Gelsinger began the manufacturing expansion to produce chips for outside customers. Tan adopted a more cautious turnaround strategy after taking charge in 2025. Tan chose to wait for customer demand before advancing ambitious fab projects.
Intel had reached high-volume production of the company's most advanced 18A chips at an Arizona fab by late 2025. Intel says construction and equipment installation are underway at the next Arizona fab. Chandrasekaran announced on Wednesday that operations at that fab are expected to start by the end of 2028. However, Intel has not secured a major external customer for the 18A chips being produced in Arizona. Intel instead uses those chips in the company's own device processors.
Intel previously dominated chip manufacturing but suffered major delays in the 7- and 10-nanometer nodes. Those delays triggered Intel shares' worst annual performance in 2024. Customers have since been reluctant to commit again.
Record AI demand may now give Intel an opportunity, as Taiwan Semiconductor Manufacturing Co. cannot produce chips quickly enough. Mizuho Securities analyst Jordan Klein said even Nvidia, Advanced Micro Devices, Apple and Broadcom face extremely intense competition for capacity on TSMC production lines. TechInsights analyst Dan Hutcheson said Intel could provide an alternative manufacturing source, with major customers testing Intel production and seeking another supplier to exert pricing pressure on TSMC.
Intel Hits Construction Milestone at Ohio Chip Fab, Now Targeting 2030 Operations
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Summary
Intel announced on Wednesday that the first major structural truss was installed at its New Albany, Ohio chip fab, moving the project into a new construction phase. AI + crypto news platforms are tracking the delay, as the facility is now expected to operate in 2030 instead of its original 2025 timeline. Intel Foundry head Naga Chandrasekaran called the progress a step toward boosting U.S. semiconductor output. The company still needs to secure customers, with rumors pointing to SK Hynix possibly leasing space for memory chips. New token listings on crypto exchanges have seen mixed activity as investors watch for broader tech sector updates.
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