Intel has introduced its latest process node, Intel 3, which is expected to bring significant improvements and cater to foundry customers for many years. This new process node follows the launch of Intel 7 and Intel 4, and is considered crucial for Intel’s ambitions of regaining manufacturing dominance.
The Intel 3 process node is the first cutting-edge node that will be utilized by external foundry customers, signaling Intel’s commitment to maintaining it for an extended period. The company also plans to offer multiple variants to enhance performance and add features for specific use cases.
Intel has already started production of the Intel 3 process at its facilities in Oregon and Leixlip, Ireland, with promising results. The new process promises up to 18% more performance with the same power compared to Intel 4, along with a 10% higher density. This rapid improvement in performance showcases Intel’s dedication to innovation and staying ahead in the industry.
Looking ahead, Intel has two more process nodes in its roadmap—Intel 20A and Intel 18A—that are set to utilize a new transistor design and rear power delivery technology. These nodes are expected to further enhance performance and efficiency, with Intel 18A specifically aimed at foundry customers with multiple variants.
The company has secured significant business for its foundry, with promising clients like Microsoft onboard for future projects. With the introduction of Intel 3 and upcoming nodes like Intel 18A, Intel is positioning itself for a successful turnaround in its foundry business and aims to become one of the world’s top foundries.
While Intel’s foundry business currently generates minimal revenue from external customers, the company is optimistic about a turnaround in the near future. By 2027, Intel expects the foundry business to break even and deliver a 30% operating margin by 2030, demonstrating confidence in its long-term growth prospects.
Investors are encouraged to consider betting on Intel’s stock before the foundry business takes off, especially given the positive developments with the Intel 3 process node and the promising outlook for future nodes. Despite uncertainties surrounding the foundry business, Intel’s innovative approach to technology and manufacturing signals a potential resurgence in the company’s fortunes.
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https://www.fool.com/investing/2024/06/21/intel-foundry-takes-a-step-forward-with-intel-3-pr/
