Intel will cancel 14A and following nodes if it can't win a major external customer — move would cede leading-edge nodes to TSMC and Samsung

Intel
(Image credit: Intel)

Intel may slow down or even cancel development of its 14A process technology (1.4nm-class) if it fails to land a major external customer for this production node, or if the fabrication process fails to meet crucial milestones. This is the first time Intel has admitted to considering withdrawing from the leading-edge semiconductor technology race for a major node, essentially leaving leading-edge process technologies to TSMC and possibly Samsung Foundry.

Among the topics Intel discussed during its earnings call on Thursday were its approaches to investing in production capacity and the development of next-generation process technologies, as well as its focus on improving its return on investment and profitability. While the company remains committed to its roadmap through Intel 18A and 18A-P, the continuation of its next-generation Intel 14A process depends heavily on attracting a major outside customer and meeting specific development milestones.

Anton Shilov
Contributing Writer

Anton Shilov is a contributing writer at Tom’s Hardware. Over the past couple of decades, he has covered everything from CPUs and GPUs to supercomputers and from modern process technologies and latest fab tools to high-tech industry trends.

  • thestryker
    The writing was on the wall with the valuation collapse and it became pretty much inevitable the second they forced Gelsinger out. The supposed investors don't want to build a company's future if it interferes with making money now.

    While bad leadership certainly caused the situation that Intel found themselves in this is at best equally bad. The fabs will likely be sold off and we'll have another GloFo except I suspect there will be a lot more job losses because it would cost money to convert DUV fabs to be usable.
    Reply
  • -Fran-
    Yikes. So it is a big gamble as I imagined.

    Good luck, Intel.

    Regards.
    Reply
  • bit_user
    Such announcements are exactly the opposite of how you instill confidence in prospective customers!

    The correct approach would be:
    "Intel remains committed to ensuring these nodes are competitive and delivered on-target."
    ...or something like that. Threatening to cancel them could end up being a self-fulfilling prophesy.
    Reply
  • thestryker
    bit_user said:
    Such announcements are exactly the opposite of how you instill confidence in prospective customers!
    The cynic in me says this is working as intended.
    Reply
  • TCA_ChinChin
    Sad to see Intel potentially being relegated to another GloFo. Having more options in the leading edge and competition with TSMC is always a good thing.
    Reply
  • Geef
    Try to think of it like this. AMD chips have used less power for a long time. If Intel changes their focus on making their current chips use less power overall and add a couple AI pieces then they should be fine for the next couple generations.
    Reply
  • usertests
    It's going to be fun to see what happens to the abandoned 18A node. Hoping for cheap Wildcat Lake and Panther Lake goodies.
    Reply
  • John Nemesh
    Ah, the hubris finally caught up to them. Good.
    Reply
  • JamesJones44
    Intel should spin out the Foundry business at this point, it's clear that it's not a priority for Lip-Bu. Otherwise I just don't see customers having faith that Intel in its current form will be able to compete and without investment it will just die. I think the Foundry would have a better chance on their own of both drawing investment and drawing external customers. I'm not saying it would or wouldn't be successful on its own, just that I think it would have a better chance at succeeding vs what this announcement sounds like (abandonment).
    Reply
  • Rakanyshu
    thestryker said:
    The cynic in me says this is working as intended.
    Pretty much what i think, someone must be wanting a fab for pennies and its working on that deal
    Reply