Intel’s chip plant project in New Albany will not be getting constructed until the next decade, therefore marking the Ohio One Chip Plant Delayed. This information was revealed by a press release therefore delaying the project even further.
This chip plant project was announced in the year 2022 and was supposed to be opened this year. However, over one year ago, Intel announced challenges which delayed the construction works of the project until 2027. As per now, Intel says that parts of the chip plant project won’t get completed until 2030 and 2031. This therefore implies that at the time this chip plant project opens, that is if the dates stand, the project will have been delayed by five to six years from its initial estimated completion date.
“The investments we have in Ohio are a part of our broader U.S. manufacturing expansion,” Naga Chandrasekaran, the vice president, chief global operations officer and general manager of Intel Foundry Manufacturing stated. “As we keep on investing across our sites in U.S, it’s quite important that we align the commencement of production of our fabs with the needs of both our business and broader market demand. This has usually been our approach, as it enables us to manage responsibly our capital and also adapt to the customer needs.”
Intel’s Ohio One Chip Plant Factsheet
Location: The project is located in the New Albany International Business Park in Licking County, Ohio.
Cost: The project will cost over $20 billion.
Construction Start: Initial construction work began in July 2022, with a groundbreaking ceremony in September 2022.
Facilities: The project includes the construction of two chip manufacturing factories.
Job Creation: Intel plans to hire about 3,000 individuals for the factories and create around 7,000 construction jobs during development phase.
Timeline: The construction of the first factory (Mod 1) is expected to be completed by 2030, with operations starting between 2030 and 2031. The second factory (Mod 2) is expected to be completed by 2031, with operations starting in 2032
Also read: How is Intel’s $20B Ohio One Chip Plant: On Track or Derailed?
Progress on the Project
Additionally, Intel stated that the project’s basement level has been completed. Furthermore, there is work ongoing on the ground level.
“We are now taking prudent approach to make sure that we finish this project in a financially responsible manner that sets up Ohio One for success well in the coming future,” Chandrasekaran mentioned. “We will keep on the construction works at a lower pace. At the same time, we will ensure flexibility to accelerate work and the commencement of operations if customer demand warrants. I want to be honest and transparent with you regarding our current plans.”
Ohio One Chip Plant Delayed, Intel to Still Focus on Ohio
According to Intel, the delay faced on the project will not dampen its long-term commitment that it has in Ohio. Intel stated that it already has hired workers in Buckeye State. The workers are currently training in other facilities based in Oregon, Arizona and New Mexico.
“We are indeed disappointed the plants will not be opened sooner as planned initially. The construction works will continue at the Ohio Intel site. The company has kept on telling the state that the fabs will be completed and produce chips,” Dan Tierney stated, press secretary for Gov. Mike Dewine. “This is just a construction delay. The project will move forward.”
Also read: Intel Delays its $20 Billion Ohio One Project by at Least a Year
