Articles tagged with "chip-manufacturing"
A timeline of the US semiconductor market in 2025
The U.S. semiconductor industry experienced significant developments throughout 2025, marked by leadership changes, government interventions, and shifting international trade dynamics. Nvidia emerged as a dominant player, reporting record revenues driven largely by its data center business, and securing a non-exclusive licensing deal with chip maker Groq, including hiring Groq’s founder and acquiring $20 billion in assets. Despite challenges, Nvidia also navigated complex regulatory environments, including a reversal by the U.S. Department of Commerce allowing it and AMD to export advanced AI chips to China, although China imposed restrictions on domestic companies purchasing Nvidia chips and ruled that Nvidia violated antitrust laws related to a past acquisition. Intel made notable strides with the announcement of its Panther Lake processor, built on its advanced 18A semiconductor process and produced exclusively at its Arizona fab. The company also underwent leadership changes shortly after the U.S. government took an equity stake in Intel’s foundry program, a move aimed at securing domestic chip production amid tariff rumors and geopolitical tensions.
semiconductorsAI-chipsNvidiaIntelchip-manufacturingsemiconductor-industrytechnology-tariffsChina targets high-tech chip security with homegrown ion implanters
China has achieved a significant breakthrough in semiconductor manufacturing with the development of its first high-energy hydrogen ion implanter, the POWER-750H, announced by the China Institute of Atomic Energy. This advanced equipment, described as a “microscopic scalpel,” is critical for embedding precise ions into silicon wafers, a key process in chip fabrication. The POWER-750H reportedly matches leading international standards, marking a major step toward reducing China’s dependence on imported ion implantation technology, which has been restricted by foreign controls and market monopolies. The development leverages China’s expertise in nuclear physics and accelerator technology, enabling the country to independently design and produce tandem-type high-energy hydrogen ion implanters. Ion implantation is one of the “four core tools” in semiconductor manufacturing, essential for creating the internal structures of chips such as transistors and diodes. Achieving stable, high-energy ion beams that can operate reliably over long periods posed significant technical challenges, which China has now overcome. This advancement complements broader
semiconductorion-implantationchip-manufacturingmaterials-sciencehigh-energy-ion-implantersChina-technologysupply-chain-securitySemiconductor deal: Taiwan commits $250B for 5% tariff relief
The United States and Taiwan have finalized a significant trade agreement to boost semiconductor manufacturing within the U.S. Taiwanese chip and technology firms will invest at least $250 billion in American production capacity, supported by a $250 billion credit guarantee from the Taiwanese government. In exchange, the U.S. will reduce reciprocal tariffs on Taiwan from 20% to 15%, with zero tariffs on generic pharmaceuticals, aircraft components, and certain natural resources. The deal also links tariff relief directly to U.S. manufacturing activity, allowing Taiwanese companies to import chip components tariff-free up to certain limits based on their U.S. production capacity. Commerce Secretary Howard Lutnick emphasized that companies not investing in U.S. manufacturing could face tariffs as high as 100%, underscoring the U.S. goal to relocate 40% of Taiwan’s semiconductor supply chain domestically. Taiwan Semiconductor Manufacturing Co. (TSMC), the world’s largest contract chipmaker, has already committed up to $40 billion to build chip fabs in Arizona
semiconductorschip-manufacturingTaiwan-Semiconductor-Manufacturing-Companytrade-agreementU.S.-manufacturingtariffstechnology-investmentNVIDIA can now sell AI chips to China as US eases export rules
The U.S. Commerce Department has eased export restrictions on advanced AI chips to China, allowing companies like NVIDIA and AMD to apply for licenses to sell certain high-performance processors under strict conditions. This marks a significant shift from previous policies that largely rejected such exports outright. Under the new rules, chipmakers can seek approval to export processors like NVIDIA’s H200 and AMD’s MI325X on a case-by-case basis, provided they demonstrate no shortage of supply in the U.S. and certify that shipments will not detract from domestic needs. The policy also applies to Macau and restricts eligibility to chips below specific performance thresholds, while explicitly barring exports for military, intelligence, or weapons-related uses. The revised framework further limits exports to no more than 50% of the volume shipped domestically and requires rigorous customer verification and independent third-party testing before shipment. This approach aims to prevent advanced U.S. AI technology from enhancing China’s defense or intelligence capabilities while cautiously reopening commercial access. NVIDIA’s H200
AI-chipssemiconductor-export-controlsNVIDIAadvanced-processorsUS-China-technology-tradeAI-hardwarechip-manufacturingChina’s Chips Manhattan Project And The Semiconductor Skills Race - CleanTechnica
The article discusses China’s covert, large-scale effort to develop extreme ultraviolet (EUV) lithography technology, often likened to a "Manhattan Project," aimed at closing the gap in advanced semiconductor manufacturing. EUV lithography is critical for producing cutting-edge chips with features measured in nanometers, enabling higher transistor density, faster switching speeds, and lower energy consumption. This technology is extraordinarily complex, involving precision optics, plasma physics, lasers, vacuum systems, and advanced materials science. China’s progress, which includes developing partial working prototypes, signifies that the technological gap with the Dutch manufacturer ASML—the only company currently producing EUV machines—is shrinking from decades to years, though China has not yet matched ASML’s capabilities. China’s initiative emerged after the U.S. and its allies, including the Netherlands, South Korea, and Japan, imposed export controls to block China’s access to advanced semiconductor manufacturing equipment, particularly EUV machines. Faced with exclusion from the most advanced chip nodes, China chose
semiconductorslithographyEUV-technologychip-manufacturingmaterials-scienceenergy-efficiencyadvanced-manufacturingPat Gelsinger wants to save Moore’s Law, with a little help from the Feds
Pat Gelsinger, former Intel CEO and now a general partner at Playground Global, is focusing on reviving Moore’s Law by backing xLight, a startup developing revolutionary lithography technology for semiconductor manufacturing. xLight aims to create massive free electron lasers powered by particle accelerators to generate extreme ultraviolet (EUV) light at much shorter wavelengths (around 2 nanometers) than the current industry standard of 13.5 nanometers used by ASML, the dominant player in EUV lithography. This breakthrough could address the semiconductor industry's critical bottleneck—lithography—enabling continued advances in chip performance and manufacturing. The xLight project is notable not only for its technological ambition but also because it is linked to funding under the U.S. Chips and Science Act, marking a rare instance of federal involvement in early-stage semiconductor ventures. Although the deal is still in the letter of intent phase and not finalized, Gelsinger is optimistic about its potential to sustain semiconductor innovation. xLight’s
semiconductorsMoore's-Lawlithographyfree-electron-laserschip-manufacturingsemiconductor-industrytechnology-innovationWhat does it mean when Uncle Sam is one of your biggest shareholders? Chip startup xLight is about to find out
The Trump administration has agreed to invest up to $150 million in xLight, a Palo Alto-based semiconductor startup, through the Commerce Department using funds from the 2022 Chips and Science Act. This investment, in exchange for equity, is expected to make the U.S. government the largest shareholder in xLight, marking the first Chips Act award in Trump’s second term, though the deal remains preliminary. xLight aims to revolutionize chip manufacturing by developing particle accelerator-powered lasers capable of producing more precise and powerful light sources at a wavelength of 2 nanometers, significantly surpassing the current industry leader ASML’s 13.5-nanometer technology. The company is led by CEO Nicholas Kelez, an expert in quantum computing and government labs, with former Intel CEO Pat Gelsinger serving as executive chairman. The government’s involvement has sparked mixed reactions in Silicon Valley, where many investors are wary of state intervention in the tech sector. Venture capitalists express concern about competing against startups backed
semiconductorschip-manufacturingparticle-acceleratorslasersenergy-efficiencymaterials-sciencegovernment-fundingNew desk-sized ultraviolet light source tool brings China closer to chip self-reliance
Chinese researchers have developed a new desktop-sized extreme ultraviolet (EUV) lithography light source capable of producing 14-nanometre microchips. Unlike traditional ASML EUV machines, which are large, power-intensive, and rely on complex laser-produced plasma (LPP) systems with tin droplets and massive collector mirrors, this new device uses high-harmonic generation (HHG) by firing a femtosecond laser into argon gas. This approach eliminates the need for giant mirrors and tin droplets, resulting in a dramatically simpler, smaller, and more energy-efficient system that consumes about 1 microwatt per blast—far less than the 200 watts required by ASML machines. While it cannot support mass production of advanced chips, it is well-suited for small-batch fabrication, chip inspection, photomask defect detection, and quantum chip prototyping. The new technology represents a significant step toward China’s goal of self-reliance in high-end chipmaking tools amid restrictions on
materialssemiconductorlithographymicrochipsextreme-ultraviolethigh-harmonic-generationchip-manufacturingWith an Intel recovery underway, all eyes turn to its foundry business
Intel reported a strong third-quarter performance, surpassing Wall Street expectations with $13.7 billion in revenue and a net income of $4.1 billion, a significant turnaround from a $16.6 billion loss in the same period last year. This improvement was driven by revenue growth, substantial cost-cutting measures including layoffs, and major investments from Softbank, Nvidia, and the U.S. government. Intel also bolstered its financial position by divesting non-core assets, such as selling its hardware division and an autonomous driving technology company, raising billions to support its turnaround efforts. CEO Lip-Bu Tan emphasized that these actions have strengthened Intel’s balance sheet and operational flexibility, positioning the company for continued strategic execution. Despite the positive quarterly results, Intel provided limited details on the future of its foundry business, which manufactures custom chips and has struggled since its inception. The foundry segment is a key focus for Tan and is supported by the U.S. government’s investment, which includes conditions for
semiconductorsIntelfoundry-businesschip-manufacturingenergy-efficient-chipstechnology-investmentautonomous-driving-technologyIntel unveils new processor powered by its 18A semiconductor tech
Intel has unveiled its next-generation Intel Core Ultra processor, codenamed Panther Lake, marking a significant hardware upgrade powered by the company’s new 18A semiconductor process. This chip, the first built using the 18A technology, is expected to ship later in 2025 and is manufactured at Intel’s Fab 52 facility in Chandler, Arizona, which began operations in 2024. Intel CEO Lip-Bu Tan emphasized that this advancement signals a new era in computing, driven by breakthroughs in semiconductor technology, manufacturing, and packaging, aligning with his vision to revitalize Intel’s engineering culture and innovation. In addition to Panther Lake, Intel previewed its Xeon 6+ server processor, codenamed Clearwater Forest, also based on the 18A process, with a planned launch in the first half of 2026. This announcement represents Intel’s largest manufacturing milestone in years and highlights the strategic importance of domestic chip production. Intel’s press release underscored that the 18A
materialssemiconductor-technologyIntel-processors18A-processchip-manufacturingadvanced-packagingcomputing-innovationThe Trump admin is going after semiconductor imports
The Trump administration is reportedly considering a new policy aimed at boosting U.S. semiconductor production by enforcing a 1:1 manufacturing ratio. Under this approach, U.S. semiconductor companies would be required to produce domestically the same number of chips as their customers import from overseas. Companies failing to meet this ratio could face tariffs, although the timeline for achieving this target remains unclear. This move follows President Trump's discussions since August about imposing tariffs on the semiconductor industry to encourage reshoring of chip manufacturing. While the ratio-based policy could eventually increase domestic semiconductor output, it poses risks to the U.S. chip industry in the short term, as manufacturing capacity is currently insufficient to meet demand. Building new semiconductor fabrication plants is a complex and lengthy process, exemplified by Intel’s Ohio plant, which has been delayed multiple times and now aims to open in 2030. Meanwhile, Taiwan Semiconductor Manufacturing Company (TSMC) has announced plans to support U.S. chip production infrastructure, though details are sparse. Overall,
materialssemiconductorchip-manufacturingtariffssupply-chainUS-manufacturingtechnology-policyChina tells its tech companies they can’t buy AI chips from Nivida
China’s Cyberspace Administration has officially banned domestic tech companies, including major players like ByteDance and Alibaba, from purchasing Nvidia’s AI chips, specifically the RTX Pro 6000D server designed for the Chinese market. This move follows earlier discouragements from Beijing to avoid Nvidia chips and instead support local AI chip manufacturers. Nvidia’s chips are widely regarded as some of the most advanced globally, making this ban a significant setback for China’s tech ecosystem, despite efforts by companies like Huawei and Alibaba to develop indigenous AI hardware. Nvidia’s CEO Jensen Huang expressed disappointment but acknowledged the broader geopolitical tensions between China and the U.S. He emphasized Nvidia’s willingness to support Chinese companies if permitted. The ban comes amid a complex backdrop of U.S. export controls: the Trump administration initially restricted Nvidia’s chip sales to China in April, causing substantial revenue losses for Nvidia. Although restrictions were partially eased later, including a controversial revenue-sharing proposal with the U.S. government, Nvidia has yet to resume significant sales
semiconductorsAI-chipsNvidiaChina-tech-marketsemiconductor-industrychip-manufacturingtechnology-regulationsA timeline of the US semiconductor market in 2025
The U.S. semiconductor market in 2025 has experienced significant developments amid geopolitical tensions and industry shifts, largely driven by the strategic importance of AI chip technology. Nvidia reported a record quarter in August, with a notable 56% year-over-year revenue growth in its data center business, underscoring its strong market position despite broader industry turmoil. Meanwhile, Intel underwent major changes: the U.S. government took an equity stake in the company’s foundry program to maintain control, and Japanese conglomerate SoftBank also acquired a strategic stake. Intel further restructured by spinning out its telecom chip business and consolidating operations to improve efficiency, including halting projects in Germany and Poland and planning workforce reductions. Political dynamics have heavily influenced the semiconductor landscape. President Donald Trump announced potential tariffs on the industry, though none had been implemented by early September, and publicly criticized Intel CEO Lip-Bu Tan amid concerns over Tan’s ties to China. Tan met with Trump to discuss Intel’s role in revitalizing U.S
materialssemiconductorAI-chipsIntelNvidiachip-manufacturingtechnology-industryWhy the US government is taking a stake in Intel
The Trump administration aims to establish U.S. dominance in artificial intelligence by revitalizing domestic semiconductor manufacturing, a critical component for AI technology. To support this goal, the administration converted a government grant intended for semiconductor manufacturing into an equity stake in Intel, contingent on Intel maintaining majority ownership of its foundry business over the next five years. Intel’s foundry unit, which manufactures custom chips, has faced challenges including regulatory setbacks, leadership changes, and strategic uncertainty since its 2021 launch and subsequent failed acquisition attempts. Former Intel board member Lip-Bu Tan briefly returned in early 2025 with a turnaround plan focused on refocusing the company and workforce, but his ties to China raised concerns among U.S. lawmakers, leading to his abrupt resignation. Shortly afterward, Intel secured a significant investment from SoftBank and finalized the U.S. government’s deal, which positions the government as a passive investor aligned with Intel’s interests. This unprecedented move reflects the administration’s commitment to reshoring semiconductor manufacturing, though questions
semiconductorschip-manufacturingIntelU.S.-governmentAI-technologydomestic-manufacturingsupply-chainTrump administration’s deal is structured to prevent Intel from selling foundry unit
The Trump administration has structured a deal with Intel that restricts the company’s ability to spin off or sell its foundry business unit, which manufactures custom chips for external customers. Intel’s CFO David Zinsner revealed that the agreement includes a five-year warrant allowing the U.S. government to acquire an additional 5% stake in Intel at $20 per share if Intel’s ownership in the foundry unit falls below 51%. This provision effectively penalizes Intel for divesting the foundry business, aligning with the government’s goal of maintaining domestic chip manufacturing capacity amid growing reliance on offshore producers like Taiwan Semiconductor Manufacturing Company (TSMC). The foundry unit has been financially underperforming, reporting losses in the second quarter and generating pressure from analysts, board members, and investors to spin it off. Despite these challenges, the deal incentivizes Intel to retain the unit, reflecting the administration’s strategic priority to bolster U.S. semiconductor production under the CHIPS and Science Act. Intel recently received remaining grant
semiconductorschip-manufacturingIntel-FoundryU.S.-CHIPS-Actsemiconductor-industrytechnology-policysupply-chain-managementThe Trump administration’s big Intel investment comes from already awarded grants
The Trump administration announced an $8.9 billion investment in Intel, which the company described as government funds previously awarded but not yet disbursed, rather than new funding. This amount includes $5.7 billion from the Biden administration’s CHIPS Act and $3.2 billion from the Secure Enclave program. Despite President Trump’s claim that the U.S. paid nothing for these shares and his characterization of the deal as beneficial for both America and Intel, the funds are essentially government grants being converted into equity. Trump has been critical of the CHIPS Act and urged House Speaker Mike Johnson to repeal it. Intel had already received $2.2 billion in CHIPS Act funding and requested an additional $850 million reimbursement that had not yet been paid. Some legal experts question whether the CHIPS Act permits the government to convert grants into equity, suggesting potential legal challenges to the deal. Trump also previously accused Intel CEO Lip-Bu Tan of conflicts of interest, though he later praised Tan for negotiating
materialssemiconductorchip-manufacturingCHIPS-ActIntelgovernment-grantstechnology-investmentU.S. government plans to take a 10% stake in Intel
The U.S. government plans to acquire a 10% ownership stake in Intel, as announced by President Donald Trump on August 22, 2025. Intel has agreed to the proposal, which caused the company’s stock to rise by over 7%. This move is notable because government equity stakes in private companies are rare in the U.S., typically reserved for extraordinary circumstances such as the 2008-2009 financial crisis. The investment comes amid Intel’s ongoing restructuring under CEO Lip-Bu Tan, who is focusing the company on core businesses and addressing competitive pressures from rivals like Nvidia. This government investment follows a recent deal in which Japanese conglomerate SoftBank agreed to purchase Intel common stock at $23 per share, signaling international confidence in Intel’s role in advanced technology and semiconductors. The government’s stake is expected to be officially announced shortly after the SoftBank deal. This marks a significant shift in U.S. policy, reflecting heightened federal interest in supporting domestic semiconductor manufacturing and technology leadership
energysemiconductorstechnology-investmentIntelgovernment-stakeadvanced-technologychip-manufacturingIntel continues to pull back on its manufacturing projects
Intel CEO Pat Gelsinger is advancing a restructuring plan aimed at reducing inefficiencies by scaling back several manufacturing projects. In its Q2 earnings report, Intel announced it will cancel previously planned chip manufacturing facilities in Germany and Poland, including an assembly and testing site in Poland and a chip factory in Germany, both of which had been on hold since early 2024. The company also plans to consolidate test operations in Costa Rica by shifting them to Vietnam and Malaysia. Gelsinger acknowledged that prior capacity investments were excessive and poorly aligned with demand, leading to a fragmented factory footprint. Moving forward, Intel intends to expand capacity only based on confirmed volume commitments and tie capital expenditures to clear milestones. Additionally, Intel will further delay its $28 billion chip factory in Ohio, originally slated to open in 2025. This announcement coincides with Gelsinger’s first full quarter as CEO, during which he emphasized streamlining operations by divesting non-core units and eliminating redundancies. The company has already reduced its
semiconductorschip-manufacturingIntelmanufacturing-projectsfactory-consolidationsemiconductor-industryproduction-capacityTrump’s AI Action Plan aims to block chip exports to China but lacks key details
The Trump administration’s recently released AI Action Plan aims to maintain U.S. leadership in AI technology while preventing adversaries, particularly China, from benefiting from American innovations. Central to the plan is strengthening export controls on AI chips through “creative approaches,” including working with government agencies and the AI industry to develop chip location verification features and establishing enforcement mechanisms for export restrictions. The plan emphasizes the need for international alignment with allies to impose strong export controls and prevent backfilling, using tools like the Foreign Direct Product Rule and secondary tariffs. However, the plan lacks detailed strategies on how these goals will be achieved, especially regarding coordination with global allies and specific enforcement measures. Instead, it outlines foundational steps for future sustainable export guidelines rather than immediate policy implementations. This ambiguity reflects ongoing uncertainty, as the administration has shown inconsistent export restriction policies recently, such as rescinding previous Biden-era rules and fluctuating stances on semiconductor exports to China. Upcoming executive orders expected around July 23 may focus more on organizing government efforts than
energysemiconductorsAI-chipsexport-controlstechnology-policyinternational-tradechip-manufacturingBreakthrough silicon chip fuses photonics and quantum generators
Researchers from Boston University, UC Berkeley, and Northwestern University have developed the world’s first integrated electronic–photonic–quantum chip using standard 45-nanometer semiconductor technology. This breakthrough device combines twelve synchronized quantum light sources, known as “quantum light factories,” on a single chip, each generating correlated photon pairs essential for quantum computing, sensing, and secure communication. The chip integrates microring resonators, on-chip heaters, photodiodes, and embedded control logic to maintain real-time stabilization of the quantum light generation process, overcoming challenges posed by temperature fluctuations and manufacturing variations. The innovation lies in embedding a real-time feedback control system directly on the chip, enabling continuous correction of misalignments and drift, which is critical for scalable quantum systems. The team successfully adapted quantum photonics design to meet the stringent requirements of a commercial CMOS platform, originally developed for AI and supercomputing interconnects. This collaboration demonstrates that complex quantum photonic systems can be reliably built and stabilized within commercial semiconductor
quantum-computingphotonicssemiconductor-technologyquantum-light-sourcesintegrated-circuitsquantum-sensorschip-manufacturingUS chipmakers could see bigger tax credits if Trump’s spending bill passes
The Trump administration’s current spending bill, known as the “Big, Beautiful Bill,” includes a provision that could significantly increase tax credits for semiconductor manufacturers building plants in the U.S. The bill, which has already passed the Senate, proposes raising the tax credit from 25% to 35%. This enhanced credit aims to incentivize companies like Intel, TSMC, and Micron Technology to expand their domestic manufacturing capabilities. This potential tax boost comes at a critical time for the semiconductor industry, which has faced challenges due to recent export restrictions on advanced AI chips to China. The increased tax credit could help offset some of the difficulties caused by these trade limitations and support the growth of U.S.-based chip production. However, the final impact depends on whether the spending bill passes in its current form.
materialssemiconductorchip-manufacturingtax-creditsUS-manufacturingtechnology-industryIntelNew DirectDrive plasma etching tech to help build ultra-precise chips
materialssemiconductorplasma-etchingchip-manufacturingprecision-technologyelectronicsRF-energy