Intel Expands Chengdu Plant With $300 Million Investment

[Nomad76]

Intel has plans to expands its chip packaging and testing operations in Chengdu, China. The company will put $300 million into Intel Products (Chengdu), as stated in a WeChat post by Chengdu's Reform and Development Commission, and reported by TrendForce. Intel announced its Chengdu plant in August 2003 as a semiconductor chip packaging and testing facility in the Chengdu Hi-Tech West Zone. The first phase began in February 2004 with the construction of a chipset factory, which was completed and put into production by the end of 2005. The second phase commenced in August 2005 and was completed in October 2006. By 2007, the packaging and testing facility was fully operational, handling Intel's most advanced processors.

Since its launch in 2003, Intel's Chengdu plant has handled over half of the packaging and testing for Intel's laptop processors. Even with rising US-China tensions, China remains Intel's biggest market making up 27 percent of its total income last year. The announced expansion will increase the packaging and testing ability of server chips and will add a new "customer solutions center." This center aims to make the supply chain more effective, give more support to Chinese customers, and speed up response times. Intel's Chengdu site plays a key role in the company's global supply chain, benefiting from the area's "favorable" business climate, CEO Patrick Gelsinger said during his visit last year.



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[usiname]

American taxpayers, this would not have been possible without your support!

 

[Visible Noise]

American taxpayers, this would not have been possible without your support!

Perhaps you should read the article again.

 

[FreedomEclipse]

On a side note. Its a sly way to circumvent the export ban. "Oh yes Mr president. We're just sending our chips there for testing. Purely for testing! Nothing to see there - All chips present and accounted for! BingChi'lling!"

 

[Visible Noise]

Two people that have commented without reading the article so far.

 

[Redwoodz]

I really question the security risks this presents. You really think China is not stealing IP here? Their most advanced chips? Mind boggling.

 

[usiname]

Perhaps you should read the article again.

Perhaps you should learn to read

 

[Metroid]

Just because of this, not buying any Intel product anymore till they change this.

 

[Visible Noise]

Perhaps you should learn to read

I can read perfectly well, thank you. Where did you see CHIPS money is being used here? Oh, you didn't, you made it up.

Just because of this, not buying any Intel product anymore till they change this.

Not going to be buying AMD or Nvidia or Samsung or MediaTek either.

 

[Hecate91]

I don't see how it matter if CHIPS money is being used or not, Intel should be spending on US or EU based factories instead.

 

[Visible Noise]

I don't see how it matter if CHIPS money is being used or not, Intel should be spending on US or EU based factories instead.

China remains Intel's biggest market making up 27 percent of its total income last year.

 

[Squared]

Where did you see CHIPS money is being used here?

The idea was supposed to be a net gain in US semiconductor production. Maybe it still was but this makes it feel like Intel spent money in the US only where was required, and other things like packaging are going overseas. (And I don't think this is just Intel; I'm sure every company receiving CHIPS money is doing likewise.)

China remains Intel's biggest market making up 27 percent of its total income last year.

Intel's Chengdu plant has handled over half of the packaging and testing for Intel's laptop processors.

27% of revenue doesn't justify over half of products. Although the product made is laptop chips so maybe with server and desktop chips included that over half figure shrinks.

 

[Cheeseball]

I don't see how it matter if CHIPS money is being used or not, Intel should be spending on US or EU based factories instead.

This is for CHINESE CLIENTS, not worldwide clients.

 

[Dr_b_]

"benefiting from the area's "favorable" business climate, CEO Patrick Gelsinger said"
This is code for exploiting cheap labor and people, while taking advantage of lax or non-existent environmental regulations

 

[Visible Noise]

The idea was supposed to be a net gain in US semiconductor production. Maybe it still was but this makes it feel like Intel spent money in the US only where was required, and other things like packaging are going overseas. (And I don't think this is just Intel; I'm sure every company receiving CHIPS money is doing likewise.)



27% of revenue doesn't justify over half of products. Although the product made is laptop chips so maybe with server and desktop chips included that over half figure shrinks.

Facepalm.

27% of Intel’s revenue comes from China. Half of Intel’s laptop chips are packaged in China.

You’re absolutely right 27% of revenue doesn’t justify over half of the products. I guess that’s why far less than half of Intels products are packaged in China, right?

Or did you think the only thing Intel makes is laptop chips?

This is for CHINESE CLIENTS, not worldwide clients.

View attachment 369257

Thank you for reading the article before commenting. Sad that the first six people to post didn’t.

I really question the security risks this presents. You really think China is not stealing IP here? Their most advanced chips? Mind boggling.

Another person that didn’t read.

Test and package. Not silicon manufacturing.

Am I expecting too much of people??

 

[R-T-B]

Am I expecting too much of people??

Given the average news commenter? Yeah you need to lower your standards sadly. Calibrate for "angry eggplant."

 

[maxfly]

"Since it's launch in 2003", says everything the shortbussers need to work this out on their own, yet here we are...

 

[mikesg]

Is this just for 2-3 generations older i3 CPUs?

 

[Redwoodz]

Facepalm.

27% of Intel’s revenue comes from China. Half of Intel’s laptop chips are packaged in China.

You’re absolutely right 27% of revenue doesn’t justify over half of the products. I guess that’s why far less than half of Intels products are packaged in China, right?

Or did you think the only thing Intel makes is laptop chips?



Thank you for reading the article before commenting. Sad that the first six people to post didn’t.



Another person that didn’t read.

Test and package. Not silicon manufacturing.

Am I expecting too much of people??

Expect more of yourself. You even think what testing entails? My statements are directed towards any chip product from any company made in China given recent global events. The CHIPS act is supposed to make this happen less, not more.

 

[StimpsonJCat]

Intel is sure making very dumb decisions this last few years.

 

[RUSerious]

Am I expecting too much of people??

Yes, this is the internet in the age of social media after all. Secondly - some responses appeared to be simply sarcastic.

 

[thesmokingman]

Expect more of yourself. You even think what testing entails? My statements are directed towards any chip product from any company made in China given recent global events. The CHIPS act is supposed to make this happen less, not more.

For him it must be hard being an Intel shill these days.

 

[Redwoodz]

For him it must be hard being an Intel shill these days.

When they change their name it takes a bit to reveal themselves.