Intel Partners With UMC on 3nm Chips to Challenge TSMC

Intel has entered a manufacturing partnership with United Microelectronics Corporation to produce advanced semiconductor chips. This collaboration allows Intel Foundry Services to leverage UMC's capabilities while utilizing Intel's own fabrication infrastructure. The agreement covers both 12-nanometer and 3-nanometer process technologies, marking a significant expansion in Intel's foundry offerings.

Intel Foundry Services and UMC collaborate on 12nm and 3nm manufacturing

The partnership specifically targets the development of chips for the internet of things and WiFi sectors using the 12-nanometer node. Intel will produce these components at its manufacturing plants in Arizona. This arrangement enables UMC to access leading-edge fabrication capabilities without requiring massive capital expenditure on new facilities.

Production for the 12-nanometer process is scheduled to begin by the close of 2027. Intel plans to release the first design kits for this node within the current year. The collaboration also extends to the 3-nanometer space, where UMC aims to develop a process equivalent to TSMC's current products.

This strategic move positions Intel to compete more directly in the high-performance foundry market. By combining UMC's market presence with Intel's Arizona production capacity, the companies aim to capture share in the IoT and wireless connectivity segments. The partnership represents a concrete step toward diversifying the global semiconductor supply chain.