US EditionIntel struggles with key manufacturing process for next PC chip: Report
UNITED STATES, AUG 5 – Intel's 18A process faces yields of just 5% to 10%, well below the 50% needed for profitability, risking losses ahead of its Panther Lake chip launch in late 2025.
- Facing quality issues, Intel Corporation's 18A process for Panther Lake chips is struggling with yields of around 5% to 10%, two sources told Reuters.
- Intel Corporation spent billions developing its 18A process and upgraded factories last year to challenge TSMC, but faces manufacturing challenges, sources say.
- Intel's past approach requires yield levels of 70% to 80% for profitability, with a threshold of over 50% before ramping, sources say.
- Intel warns that it could exit leading-edge manufacturing if it fails to secure foundry deals for 14A, and may sell chips at lower margins or a loss without a yield jump.
- In the broader semiconductor landscape, Intel's yield issues mirror industry challenges, making overcoming 18A critical for revitalizing U.S.-based chip manufacturing and its foundry ambitions.
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Exclusive: Intel struggles with key manufacturing process for next PC chip, sources say
The production process that Intel hoped would pave the way to winning manufacturing deals and restore its edge in churning out high-end, high-margin chips is facing a big hurdle on quality as it puts newer technologies to the test, two people briefed on the matter told Reuters.
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The next Panther Lake chips for PCs will be made with 18A technology but it seems that Intel is experiencing serious problems that threaten its recovery - on macitynet.it Intel in crisis, problems with the 18A production process leaked
Intel's upcoming Panther-Laker processors from the designated Core Ultra 300 series are not supposed to run as desired with the in-house 18A production according to a report.
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Leaning Left1Leaning Right0Center5Last UpdatedBias Distribution83% Center
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- 83% of the sources are Center
83% Center
L 17%
C 83%
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