Intel again pushes back expected opening for semiconductor plant in central Ohio
Intel Corp. has once again pushed back the expected opening for its semiconductor project in central Ohio.
The struggling chipmaker announced Friday that construction on the first of its two factories — known as fabs — planned for New Albany is now expected to be completed in 2030 and begin operations between then and 2031. Construction of the second fab should be done in 2031 and operations should begin in 2032.
Intel announced the project in January 2022 and broke ground eight months later at the site in Licking County, just northeast of Columbus. The first plant initially was due to begin operating in 2025, but the project has since been delayed by financial concerns, the departure of its CEO last December and other problems. The company was once a dominant force in the semiconductor industry but has been eclipsed by rival Nvidia, which has cornered the market for chips that run artificial intelligence systems.
'We are taking a prudent approach to ensure we complete the project in a financially responsible manner that sets up Ohio One for success well into the future,' Naga Chandrasekaran, the executive vice president, chief global operations officer and general manager of Intel Foundry Manufacturing, stated in a message posted on Intel's website. 'We will continue construction at a slower pace, while maintaining the flexibility to accelerate work and the start of operations if customer demand warrants.'
Intel has received $2.2 billion of the $7.8 billion in funding it was due as part of the federal CHIPS Incentives Program. At least $1.5 billion of that funding was set to go toward the New Albany project, according to the U.S. Department of Commerce.
Dan Tierney, a spokesperson for Republican Gov. Mike DeWine, called the latest delay a 'disappointment" but said the state remains confident in the project.
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