Exclusive: Intel Reveals Plans for Massive New Ohio Factory, Fighting the Chip Shortage Stateside

cars up 24% over the course of a year, and slowing national economic growth.

Intel could bring some packaging, assembly, and testing back to the United States if the CHIPS for America Act is funded, Gelsinger said, which would be beneficial for national security. The sand used to make semiconductors comes from the U.S. South, after all, so it’s not inconceivable that the process of making some chips, from start to finish, could happen domestically. “My objective would be sand to product to services, all on American soil,” he said.

But some companies have started to move back to Ohio from the coasts. “I truly believe this is our time. This is our time in history,” Ohio Gov. Mike DeWine told TIME, wearing a hooded sweatshirt and sitting by his home fireplace. The pandemic has helped the state sell its low cost of living and suburban lifestyle, which is coming back into vogue after an era in which tech companies and their employees wanted to be in expensive, coastal cities.

Intel considered 38 different sites “in every major state you can imagine” before choosing New Albany in December, Keyvan Esfarjani, Intel’s senior vice president of manufacturing, supply chains and operations told TIME. DeWine said the state learned that it had won the site on Christmas Day. The state agreed to invest $1 billion in infrastructure improvements, including widening State Route 161, to support the factory and the nearby community.

Intel was also drawn to Ohio because of the availability of talent to draw on from local colleges and universities. Making semiconductor chips is a completely different type of work than making cars; much of the work is done by engineers in “bunny suits”—protective clothing that ensures that no dust gets into the microchips. Over the last two years, 60% of Intel’s external hires have had a bachelor’s degree or higher.

chamath this is good news right?

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Go Columbus Ohio!

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