US-Based Chip Manufacturing Advances as Intel and AWS Deepen Their Strategic Partnership
Intel produces custom chips on Intel 18A for AI Fabric and custom Xeon 6 processors on Intel 3 for AWS in a multi-billion dollar deal to accelerate Ohio-based chip manufacturing.
AWS and Intel
Intel and Amazon Web Services(AWS), announced a custom chip design investment . The multi-year, multi-billion dollar deal covers Intel’s wafers and products. This move extends the two companies’ long-standing strategic cooperation, helping clients power practically any workload and improve AI applications.
AWS will receive an AI fabric chip from Intel made on the company’s most advanced process node, Intel 18A, as part of the expanded partnership. Expanding on their current collaboration whereby they manufacture Xeon Scalable processors for AWS, Intel will also create a customized Xeon 6 chip on Intel 3.
“As the CEO of AWS, Matt Garman stated that the company is dedicated to providing its customers with the most advanced and potent cloud infrastructure available.” Our relationship dates back to 2006 when we launched the first Amazon EC2 instance with their chips. Now, we are working together to co-develop next-generation AI fabric processors on Intel 18A. We can enable our joint customers to handle any workload and unlock new AI capabilities thanks to our ongoing partnership.
Through its increased cooperation, Intel and AWS reaffirm their dedication to growing Ohio’s AI ecosystem and driving semiconductor manufacturing in the United States. With its aspirations to establish state-of-the-art semiconductor production, Intel is committed to the New Albany region. AWS has invested $10.3 billion in Ohio since 2015; now, it plans to invest an additional $7.8 billion to expand its data center operations in Central Ohio.
In addition to supporting businesses of all sizes in reducing costs and complexity, enhancing security, speeding up business outcomes, and scaling to meet their present and future computing needs, Intel and AWS have been collaborating for more than 18 years to help organizations develop, build, and deploy their mission-critical workloads in the cloud. Moreover, Intel and AWS plan to investigate the possibility of producing additional designs based on Intel 18A and upcoming process nodes, such as Intel 18AP and Intel 14A, which are anticipated to be produced in Intel’s Ohio facilities, as well as the migration of current Intel designs to these platforms.
Forward-Looking Statements
This correspondence includes various predictions about what Intel anticipates from the parties’ co-investment framework, including claims about the framework’s timeliness, advantages, and effects on the parties’ business and strategy. These forward-looking statements are identified by terms like “expect,” “plan,” “intend,” and “will,” as well as by words that are similar to them and their variations.
These statements may result in a significant difference between its actual results and those stated or indicated in its forward-looking statements.
They are based on management’s estimates as of the date they were originally made and contain risks and uncertainties, many of which are outside of its control.
Among these risks and uncertainties are the possibility that the transactions covered by the framework won’t be executed at all or in a timely manner;
- Failure to successfully develop, produce, or market goods under the framework;
- Failure to reap anticipated benefits of the framework, notably financial ones;
- Delays, hiccups, difficulties, or higher building expenses at Intel or manufacturing expansion of fabs, whether due to events within or outside of Intel’s control;
- The complexities and uncertainties in developing and implementing new semiconductor products and manufacturing process technologies;
- Implementing new business strategies and investing in new businesses and technologies;
- Litigation or disputes related to the framework or otherwise;
- Unanticipated costs may be incurred;
- Potential adverse reactions or changes to commercial relationships including those with suppliers and customers resulting from the transaction’s announcement;
- Macroeconomic factors, such as the overall state of the semiconductor industry’s economy;
- Regulatory limitations, and the effect of competition products and pricing;
- International conflict and other risks and uncertainties described in Intel’s Form 10-K and other filings with the SEC.
It warn readers not to rely unduly on these forward-looking statements because of these risks and uncertainties. The different disclosures made in the documents Intel occasionally files with the SEC that reveal risks and uncertainties that could affect its company are brought to the attention of readers, who are advised to analyze and weigh them carefully.
