
Intel's Biggest Foundry Customer Is Intel Itself—Fueled by "Intel 7" Node
Intel just reported its Q1 revenue results, and there are several interesting highlights from the earnings call. Intel Foundry, long touted for a comeback, is generating most of its revenue from a single customer, and it isn't the latest node. Intel's biggest customer is actually itself, predominantly using the "Intel 7" node (Intel's name for its 10 nm SuperFin process), which underpins the Alder Lake and Raptor Lake consumer CPU generations as well as the Sapphire Rapids Xeon server generation. As Intel ramps up 18A-node production and external clients begin testing their ASIC designs, 18A still isn't the Foundry division's primary revenue driver. Instead, demand for Intel 7 wafers is being fueled by massive orders for Intel's 13th- and 14th-generation Raptor Lake processors.
During the Q1 earnings call, Intel CFO Dave Zinsner noted, "Intel Foundry delivered revenue of $4.7 billion, up 8% sequentially on pull-ins of Intel 7 wafers and increased advanced packaging services." He also commented on the Q1 Foundry operating loss of $2.3 billion, attributing it to "startup costs associated with the ramp of products on Intel 18A." While the 18A node is gradually scaling to volume production for upcoming internal and external products, older nodes continue to fuel the revenue stream. Zinsner further confirmed that "we have a lot of important building blocks in place, including the ramp of Intel 18A in the second half of 2025 to support the launch of our first Panther Lake SKU by year-end, with additional SKUs coming in the first half of 2026."
During the Q1 earnings call, Intel CFO Dave Zinsner noted, "Intel Foundry delivered revenue of $4.7 billion, up 8% sequentially on pull-ins of Intel 7 wafers and increased advanced packaging services." He also commented on the Q1 Foundry operating loss of $2.3 billion, attributing it to "startup costs associated with the ramp of products on Intel 18A." While the 18A node is gradually scaling to volume production for upcoming internal and external products, older nodes continue to fuel the revenue stream. Zinsner further confirmed that "we have a lot of important building blocks in place, including the ramp of Intel 18A in the second half of 2025 to support the launch of our first Panther Lake SKU by year-end, with additional SKUs coming in the first half of 2026."