Intel says its foundry business is attracting more customers as advanced process work improves

In comments reported by Stocktwits, Intel CEO Lip-Bu Tan said there are “multiple customers engaged” with Intel’s foundry operations, pointing to growing traction for its most advanced processes, 18A and 14A ^[1]. While Tan did not name specific customers or provide contract values in those remarks, his comments align with Intel’s recent messaging that demand for its leading-edge nodes is building as the technologies mature.

Intel has positioned 18A as its first node to fully implement its RibbonFET gate-all-around transistor architecture and PowerVia backside power delivery, which the company says are intended to improve performance and power efficiency for high-performance computing and AI workloads ^[3][5]. The 14A node is planned as a follow-on, with further scaling and performance improvements later in the decade ^[3]. Intel has previously said it expects 18A to be manufacturing-ready in 2025, targeting both its own products and external foundry customers ^[4][5].

Intel has been disclosing more detail about the size of its foundry pipeline as it seeks to convince investors and potential customers that the business is gaining momentum. In February 2024, the company said it had identified more than 20 customer deals for foundry services spanning Intel 16, Intel 3 and 18A, with a potential lifetime deal value in excess of $15 billion ^[4][5]. These figures refer to opportunities rather than fully booked, long-term volume commitments, but they indicate that multiple design wins and engagements are underway.

On the public side, Intel has announced several major partners. Microsoft has said it plans to use Intel’s 18A process to manufacture a future custom chip, becoming one of the most visible early adopters of the node ^[4][5]. MediaTek has agreed to use Intel’s mature process technology for some chip production, and Intel has also disclosed foundry or advanced packaging work with firms such as Qualcomm, Broadcom and Cisco, among others, as part of its push to demonstrate external demand ^[2][3][4]. These relationships vary in scope, covering both leading-edge manufacturing and older-node or packaging services.

At its Intel Foundry “Direct Connect” event, the company said its foundry business is structured as a full-service systems foundry, combining front-end process technology, advanced packaging, IP, and design ecosystem support, with a goal of serving customers ranging from cloud providers to automotive and industrial chip designers ^[2][3].

Recent media reports have indicated that Intel is in discussions with several large chip buyers about future manufacturing on its advanced nodes. The Wall Street Journal reported that Intel has talked with Apple about potentially producing some of Apple’s in-house chips on Intel’s 18A process in the coming years, although neither company has announced a formal agreement and the talks may not lead to a deal ^[6]. Bloomberg has similarly reported that Intel’s foundry unit is drawing interest from potential clients as 18A advances, citing the node’s planned timing and the broader push by U.S. and European governments to diversify chip manufacturing beyond Asia ^[4][7].

These reported discussions come as major fabless chip companies and device makers, including Apple, rely heavily on Taiwan Semiconductor Manufacturing Co. (TSMC) for leading-edge manufacturing. Intel is trying to position itself as an additional option for high-performance chips, particularly for AI accelerators, data center processors and advanced mobile components ^[4][6][7]. However, any shift by large customers would likely take several years to materialize because of long design cycles, qualification processes and existing manufacturing commitments.

Beyond wafer fabrication, Intel is emphasizing advanced packaging as a key part of its foundry offering. The company has highlighted technologies such as Foveros 3D stacking and EMIB bridge interconnects as ways to combine multiple chiplets from Intel or external partners into a single packaged product ^[2][3][4]. At its foundry events, Intel has said that several customers are using or evaluating these packaging services, including some that may use non-Intel process technology for certain chiplets while relying on Intel for assembly and integration ^[2][3].

Intel has described its overall approach as a “systems foundry” built for AI, aiming to provide not just wafers but a combination of process technology, packaging, IP blocks and design tools. The company has announced partnerships with major electronic design automation vendors and IP providers to support customers designing on Intel’s processes ^[2][3]. This approach is intended to reduce barriers for customers that have not previously taped out chips on Intel technology and to compete more directly with established foundries that offer broad design ecosystem support.