Intel And Tower Semiconductor Forge $300 Mln Foundry Partnership

(RTTNews) - Intel Foundry Services and Tower Semiconductor (TSEM) have entered a significant partnership, with Intel offering its advanced 300 mm manufacturing capabilities to support Tower Semiconductor's global expansion. Tower Semiconductor will invest up to $300 million to acquire equipment for Intel's New Mexico facility, creating a capacity corridor capable of handling over 600,000 photo layers monthly for advanced 300 mm analog processing.

This collaboration underscores the commitment of both companies to expand their foundry operations, leveraging Intel's renowned manufacturing expertise. Tower Semiconductor's specialized 65-nanometer power management BCD flows will be produced at Intel's Fab 11X facility in New Mexico.

Stuart Pann, Intel's Senior Vice President, and General Manager of Intel Foundry Services, expressed excitement about this long-term venture, emphasizing the unique value Intel provides to open a 300 mm U.S. capacity corridor.

Russell Ellwanger, CEO of Tower Semiconductor, sees this collaboration as a pivotal step towards fulfilling customer demand for advanced power management and RF SOI solutions, with process flow qualification scheduled for 2024.

Intel Foundry Services grants access to extensive manufacturing capacity across Intel's global network, solidifying Intel's strategic presence in the Southwest U.S., where they have invested for over 40 years.

For Tower Semiconductor, this partnership signifies increased scale, catering to growing demand for its 65 nm BCD power and RF SOI technologies, offering enhanced power efficiency and reduced die costs.

Intel Foundry Services plays a central role in Intel's IDM 2.0 strategy, aiming to regain technology leadership and long-term growth. IFS's remarkable growth includes a more than 300 percent year-over-year revenue increase in the second quarter of this year. Recent collaborations and awards highlight Intel's commitment to innovation and excellence in the semiconductor industry.