Intel itself will not cope, despite all its ambitious plans. Next year the company will pay TSMC $14 billion for chip production

by alex

In 2025, the amount will decrease, but TSMC will even produce CPU chiplets

Intel, as you know, produces almost all of its processors itself. But for a long time now it has been gradually using the services of third-party companies to produce far from the most important chips. However, the release of CPU Meteor Lake is just around the corner, and that’s where everything changes. Next year alone, Intel will reportedly pay TSMC $14 billion to produce 3 nm chips.

Let us remember that TSMC uses this process technology to produce GPU chiplets that are used in Meteor Lake processors. Intel produces other chiplets itself according to Intel 4 standards.

The reason for this approach is that Intel 4 is technically a 7 nm process. Although current technical processes cannot be unequivocally summed up in any sense, what TSMC offers is still much more modern.

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What's important is that, despite Intel's desire to master five process technologies in five years, the company will also use the services of TSMC in 2025, with $10 billion worth of orders placed. Moreover, TSMC will produce chiplets with processor cores for the Lunar Lake CPU, and this will be the first time in Intel's modern history.

Presumably, Intel will become increasingly dependent on TSMC, and in the coming years will displace AMD, taking second place in the list of the semiconductor giant's largest clients.

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