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Intel’s 18A Process Shows Promise: Low Defect Rates and GrowingDemand

SANTA CLARA, CALIFORNIA – Intel is making significant strides withits 18A process technology, signaling a potential resurgence in the chipmaking giant’s competitiveness. The company has announced that the 18A process, equivalent to 1.8nm, is progressing smoothly and exceeding expectations, leading to the cancellation of the 20A (2nm equivalent) versionof its Arrow Lake processor, which will now be outsourced to TSMC.

Intel CEO Pat Gelsinger, during the Deutsche Bank 2024 Technology Conference, expressed his excitement about the 18A process’s lowdefect density, stating that it has reached a healthy level of under 0.4 defects per square centimeter. This is a significant achievement, as a defect density below 0.5 is generally considered a good benchmark.

The achievement is particularly impressive considering that the 18A process is still several quarters away from mass production. Intel expects the defect density to further decrease by the time it reaches production, indicating a strong foundation for high-yield manufacturing.

For comparison, TSMC’s N7 (7nm) and N5(5nm) processes had defect densities of around 0.33 during their initial three quarters of production. While the N5 process achieved a defect density of 0.1 by the time it reached mass production, the N7 process remained relatively high and took several more quarters to reach the same level.

Intel’s first consumer product utilizing the 18A process will be the Panther Lake, expected to be branded as the Core Ultra 300 series. The first data center product, the Clearwater Forest, expected to be branded as the Xeon 7 series, will also be launched in 2025.

Beyond internal use, Intel is aggressively pursuing external customers for its 18A process. The company has revealed that it is already in talks with several potential clients, including Microsoft and the US Department of Defense. Intel anticipates that eight 18A chips, including both its own and external customer products, will be fabricated by mid-2025.

The 18A process represents a critical turning point for Intel, potentially allowing it to surpass TSMC in process technology. The company’s aggressive expansion into the foundry market, coupled with its commitment to advanced process nodes, suggests a renewed focus on capturinga larger share of the global chip manufacturing landscape.

However, some reports suggest that Broadcom, a potential customer for Intel’s 18A process, is experiencing difficulties with the technology and may cancel its partnership. While this could be a setback for Intel, the company’s overall progress and growing customer baseindicate a strong future for its 18A process.

Intel’s success with the 18A process could have significant implications for the semiconductor industry. It could lead to a shift in the balance of power between Intel and TSMC, potentially creating a more competitive landscape for chip manufacturing.

The industryis closely watching Intel’s progress with the 18A process, as it could be a game-changer for the company and the broader semiconductor landscape.


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