Intel Postpones Ohio Chip Plant Launch to Next Decade, Delaying 2026 Target

The struggling chipmaker Intel said on Friday that it is delaying the opening of its semiconductor manufacturing plant in Ohio.

By 2030, the business now anticipates that construction on its first facility will be completed, and production will start that year or next. The company’s ambitious $100 billion complex includes the second factory, which is expected to be finished in 2031 and begin operations the following year. Intel had originally intended to start manufacturing at the first plant in 2025.

“As we continue to invest in our U.S. sites, it’s essential to align the start of our fab operations with business needs and overall market demand,” said Naga Chandrasekaran, Intel’s vice president and head of global operations for Intel Foundry Manufacturing. “This has always been our approach, ensuring we manage capital efficiently and adapt to customer needs.”

Due in large part to losing out on the artificial intelligence boom, Intel, which was once the industry leader in semiconductors, has experienced setbacks in recent years. As the company grappled with decreasing sales while attempting to increase its presence in the capital-intensive chip fabrication industry, its shares lost more than half of its value last year.

In August, Intel suffered its worst single-day stock market decline in 50 years after posting disappointing quarterly results. The company subsequently announced plans to cut 15% of its workforce and, in December, ousted CEO Pat Gelsinger. These developments have fueled speculation about Intel becoming a potential takeover target.

The U.S. government has given Intel a lot of support in spite of its financial difficulties. In November, the business received a $8 billion grant under the CHIPS and Science Act to promote domestic semiconductor manufacturing.