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According to reports, Intel will invest $1 billion in a new Chips Factory in Ohio

According to reports, Intel will invest $1 billion in a new Chips Factory in Ohio

While large-scale semiconductor factories present thoughts of the type of events in Japan and Taiwan, Ohio residents might soon see millions of semiconductors being made in their own state.

Intel () - an organization based in Santa Clara, Calif., plans to increase the semiconductor market to $1 trillion by 2030, is investing $1 billion in New Albany, Ohio.

The Global Shortage of Chips

In 2021, the invention of semiconductors, or the silicon chip material that integrates into everything from automobiles to digital cameras, has affected companies across the world from meeting supply. - companies like Volkswagen, Nintendo and Apple - have all struggled to secure enough semiconductors to meet customer demand for their products.

Taiwan Semiconductor Manufacturing Company and Sony Group Corp. partnered in November to develop a $7 billion program in Kumamoto in the southwestern city of 2024.

"The demand for semiconductors remained high, and our factories performed exceptionally well in a highly competitive environment where matching sets posed huge challenges for our customers, and overall industry supply remained very constrained," said Intel's CEO Pat Gelsinger during his third quarter earnings call on September 25.

And, he added that "the digitization of everything accelerated by the four superpowers of AI, widespread connectivity, cloud to edge infrastructure, and ubiquitous compute are all factors that are driving the need for more semiconductors." the market is expected to double to $1T (trillion) by 2030.

Intel has not received a comment.

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The company has production locations in the United States.

A Push To Go Local For National Security

These reports are coming as American legislators have a large amount of local produce to avoid being too dependent on Beijing in a time of tightening US-China relations.

While millions of dollars in semiconductor investment have been stalled in recent months, the House of Representatives' proposal is expected to be passed around the midterm elections.

In October, Gelsinger said it was "an unquestioned issue" when asked if excessive chip production in the hands of overseas players is a national security threat.

Taiwan's chipmaker is the only company to operate in the semiconductor industry.

According to local reports, the New Albany factory will be built on a 3,200-acre parcel of land that has been annexed to Licking County for ten years. An official commitment to building the factory is expected to come from Intel on January 21 but, if it does not meet expectations, it would be the state's largest development since Honda () opened a car factory in Columbus in 1982.

"More confirmation," local journalist Karen Kasler wrote on Twitter. "[...] Impact on Ohio's economy might be huge."

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