Tue, 18 May 2021

White House, Intel meet to expand auto chip production

Robert Besser
17 Apr 2021, 04:31 GMT+10

SANTA CLARA, California: U.S. semiconductor company Intel Corp is in discussions to begin production of chips for automakers, in a bid to address the scarcity that has forced automotive firms to go idle, Intel CEO Pat Gelsinger told Reuters.

Intel is deliberating with firms designing chips for automotive manufacturers to produce chips at Intel's network of factories within 6 to 9 months.

Intel's CEO held a meeting with representatives of the White House on April 12 for discussions on the supply chain for semiconductors.

Intel is currently among the handful of firms in the chip industry that handles designing and production of its semiconductor chips.

Intel announced plans in March to begin setting up companies in the U.S. and Europe to reduce the domination of chip competitors from Asia, including TSMC semiconductor manufacturing company and Samsung Electronics.

However, Gelsinger remarked that during the April12 meeting he informed White House representatives of the company's plan to open its current network of factories to automotive chip firms, as a means of extending prompt assistance to address the shortage that had resulted in General Motors and Ford idling production lines.

"We're hoping that some of these things can be alleviated, not requiring a three- or four-year factory build, but maybe six months of new products being certified on some of our existing processes," Gelsinger said.

"We've begun those engagements already with some of the key component suppliers," Gelsinger noted.

Gelsinger said work can now begin at Intel's facilities in Oregon, Arizona, New Mexico, Israel and Ireland.

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