In “The Claman Countdown,” Intel CEO Pat Gelsinger details how $8.5 billion from the Chip and Science Act will be spent on four projects, including a factory in Ohio.
Intel CEO Pat Gelsinger shares big technology companies’ excitement over billions of dollars in federal aid that will help the U.S. regain dominance in chip production.
“This is a huge step forward for us to be a major technology supplier to something that is so important to our country, our economy, our security,” Gelsinger said in a wide-ranging interview that aired on “The Craman Countdown” on Wednesday and Thursday. “It’s a big investment and we’re excited.” . “Obviously, we are on a journey to rebuild our leadership position.”
Starting with CHIPS and the Science Act, the Biden-Harris administration on Wednesday Awarding up to $8.5 billion to Intel The funding and $11 billion in federal loans include the company’s foray into artificial intelligence (AI), its efforts to move its semiconductor supply chain from Asia to the U.S. mainland, and an update on its Israel office.
“So this spans four projects that we have here,” Gelsinger explained. “And I always like to remind people that these are some of the largest construction projects on Earth, building the smallest thing ever built on Earth. Masu.”
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The CEO said expanding the supply chain in U.S. locations such as Arizona, New Mexico, Oregon and Ohio may take time, but he said he is satisfied in the end. economy and national security Something that interests me.
Intel CEO Pat Gelsinger spoke with FOX Business’ Liz Claman about the Biden administration’s multibillion-dollar plan for the tech giant. (Getty Images)
“It took 30, 30 years for these supply chains to flow into Asia. And as excited as I am about the CHIPS Act, it’s going to take three to four years of effort to restore that. ,” Gelsinger told FOX Business’ Liz Claman. It will take some time to rebuild. ”
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“We aim to reach 50% between the U.S. and Europe by the end of this decade so that we can truly build a resilient, sustainable and reliable supply chain for the future.” He continued. “And I believe we’re going to need chips, too. We’re not going to fix it.” [this] within three or four years. It took him 30 years to lose this industry. But I believe that by 2030 and beyond, the industry will be rebuilt and the world’s most advanced chips and AI capabilities will be here in America. ”
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Cody Ackley maintains a Buy rating on The Craman Countdown with a price target of $62 per share.
Intel is known for its successful products in PCs, networking, computer components, and mobile phones, but the company’s focus has now shifted slightly to the “supercharger” sector of technology.
“AI chips…We expect to build many of these AI chips, not just for Intel chips, but also for industry participants. To do that, we need cutting-edge technology to build cutting-edge AI. ,” Gelsinger said. “And that’s exactly what we’re trying to do at these facilities and across the country.”
