Intel CEO sets out the road ahead

“We plan to establish Intel Foundry as an independent subsidiary inside of Intel,” writes Gelsinger, “this governance structure will complete the process we initiated earlier this year when we separated the P&L and financial reporting for Intel Foundry and Intel Products.

“There is no change to our Intel Foundry leadership team, which continues to report to me,” adds Gelsinger, “we will also establish an operating board that includes independent directors to govern the subsidiary. This supports our continued focus on driving greater transparency, optimization and accountability across the business.”

“We will maintain our Smart Capital approach to maximize financial flexibility as we complete our manufacturing buildout, making some adjustments to the near-term scope and pace of our manufacturing expansion,” writes Gelsinger.

“We recently increased capacity in Europe through our fab in Ireland, which will remain our lead European hub for the foreseeable future,” continues Geldinger, “we will pause our projects in Poland and Germany by approximately two years based on anticipated market demand.”

“Malaysia remains an active design and manufacturing hub through our existing operations. We plan to complete the construction of our new advanced packaging factory in Malaysia but will align the startup with market conditions and increased utilization of our existing capacity,” says Gelsinger.

“There are no changes to our other manufacturing locations,” concludes Gelsinger, “we remain committed to our U.S. manufacturing investments and are moving forward with our projects in Arizona, Oregon, New Mexico and Ohio. We remain well-positioned to scale up production around the world based on market demand as we grow our foundry business.”