Intel wins second phase of contract to help Pentagon develop chips – Hardware

Intel has gained a second-section contract in a job aimed at helping the US army make additional state-of-the-art semiconductors inside of the United States. Beneath the job, Intel will enable the army develop prototypes of chips utilizing its semiconductor packaging technologies at factories in Arizona and Oregon. The packaging technologies […]

Intel has gained a second-section contract in a job aimed at helping the US army make additional state-of-the-art semiconductors inside of the United States.

Beneath the job, Intel will enable the army develop prototypes of chips utilizing its semiconductor packaging technologies at factories in Arizona and Oregon.

The packaging technologies lets items of chips termed “chiplets” from various vendors to be put together into a person package deal, helping cram additional features into a lesser concluded solution though reducing its ability consumption.

“As additional and additional semiconductor producing has moved offshore, the (Department of Protection) is very interested in making sure that they have state-of-the-art microelectronics for nationwide security manufactured listed here in the US,” Bob Swan, Intel’s chief executive, informed Reuters in an job interview as he toured a just lately accomplished US$seven billion manufacturing unit expansion in Arizona, where by Intel’s workforce totals twelve,000.

“As a US-primarily based corporation, it really is critical to us to be in a position to tackle some of the essential issues that the US would have about accessibility to these essential systems heading forward,” he claimed.

Intel declined to disclose a dollar figure for its part of the contract, which is staying overseen by the Naval Floor Warfare Heart, Crane Division.

Intel gained section of the very first section of the contract in 2019.

Intel’s get the job done with the Protection Department comes as US officers target on boosting domestic semiconductor producing in response to the increase of China as a strategic competitor.

About 75 {394cb916d3e8c50723a7ff83328825b5c7d74cb046532de54bc18278d633572f} of the world’s chipmaking potential is in Asia, with quite a few of the most state-of-the-art vegetation in Taiwan and Korea, inside of the get to of the Chinese and North Korean militaries.

“I consider a person of the spots where by we can have the most effect on China broadly is re-shoring microelectronics,” Ellen Lord, the Pentagon’s chief weapons purchaser, informed the US Senate Armed Services Committee.

Intel is a person of three companies in the earth that can make hugely state-of-the-art computer chips.

The other two – Taiwan Semiconductor Manufacturing Co (TSMC) and Samsung Electronics – have packaging technologies comparable to Intel’s.

But Intel has been performing on the technologies lengthier and can execute the get the job done in the United States, which the other two can’t, claimed Dan Hutcheson, chief executive officer of VLSI Investigate.

“There’s no a person else with the mix of technologies that they have in the United States,” he claimed. “Packaging is a massive gain for them.”

With Washington’s relations with Beijing at their worst in a long time, US officers have cracked down on suppliers to Chinese firms these kinds of as Huawei Systems, with new procedures on September 15 barring most US companies from advertising to the Chinese telecommunications big. Intel verified past month that it has licenses to retain supplying some goods.

Swan claimed that world market accessibility was “very critical” to helping Intel create the income required to construct chip factories, termed “fabs” in the sector.

“We make dollars, we acquire that dollars, and we reinvest predominantly listed here, in fabs in the US and in exploration and advancement,” he claimed.

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