Intel Hits Semiconductor Milestone

Accompanied by construction crews on October 12, 2023, Intel CEO Pat Gelsinger tours the company’s two new fabrication plants being built on the Ocotillo campus in Chandler, Arizona — part of the Intel’s multibillion-dollar global manufacturing build-out, which includes new or expanded facilities in Oregon, New Mexico, Ohio, Malaysia, Ireland, Poland, Israel and Germany; photo courtesy of Intel Corporation

Intel, a cornerstone of the U.S. semiconductor industry, recently achieved a significant milestone in its expansion project at the Ocotillo campus in Chandler, Arizona. This progress marks a vital step in reinforcing the United States’ leading position in the global semiconductor market.

Intel’s Chandler site has been instrumental for Arizona’s technological growth for more than 40 years, where it now has two new leading-edge chip manufacturing facilities. A pivotal phase in the expansion is completing the initial portion of the cleanroom, which is now “weather tight.” This achievement paves the way for the “blow-down” phase, a critical step in establishing a contaminant-free environment for semiconductor fabrication.

Intel’s investment of $20 billion in these facilities significantly helps to boost the local economy. It is expected to generate more than 3,000 high-tech jobs and an equal number of construction positions. Intel’s presence in Arizona already encompasses a workforce of more than 13,000 state residents. The ripple effect of this investment is anticipated to support approximately 15,000 indirect jobs within the local community, reinforcing Intel’s substantial role in the state’s economic landscape.

The overall impact of Intel’s operations in Arizona is significant, with the company’s cumulative investment in the state now surpassing $50 billion, reflecting a deep-seated commitment to the region’s growth. Intel also fosters the United States’ technological prowess by contributing an estimated $8.6 billion annually.

Dan Doron, Intel vice president and general manager of Fab Construction Enterprise, emphasized, “Our commitment to Arizona runs deep, and as we expand our operations, we remain dedicated to addressing the growing demand for semiconductors and helping the United States regain its leadership position in this vital industry. This milestone represents the result of great teamwork, proficient teams and exceptional craftsmanship of the tradespeople, and it’s thanks to their hard work that we’ve made such significant progress on our site while keeping our culture of caring and the safety of all as our top priority.”

The importance of the Intel fab expansion extends beyond state borders, resonating at a national level. President and CEO of the Arizona Chamber of Commerce & Industry Danny Seiden underscored the critical role semiconductors play in the modern economy in a recent ACA press release when he said, “We know that semiconductors are essential to today’s economy. As we learned during the pandemic, any disruption to the manufacture of chips or to their supply chain will have serious consequences for economic growth and competitiveness. The announcement by Intel that the new Chandler cleanroom construction has reached this critical phase is not only good news for Arizona but for the entire country as we look to significantly strengthen our domestic semiconductor output.”

The Ocotillo construction site, bustling with activity, exemplifies the scale of this endeavor. A daily workforce of 6,000 tradespeople has dedicated more than 10 million job hours, pouring 342,000 cubic yards of concrete and erecting nearly a mile and a half of steel trestles. 

“Intel is not only a leader in the manufacture of semiconductors, but it’s a sustainability leader, too,” Arizona Manufacturers Council Executive Director Grace Appelbe says. “Whether by recycling its construction waste, conserving and restoring water to achieve net-positivity for water use, or relying on green energy sources to meet its power demands, Intel is setting the example for sustainable manufacturing.”

Intel’s commitment to sustainability is evident in its goal to recycle at least 90% of construction waste. Impressive results have already been achieved in 2023 since the company has kept more than 25,000 tons of construction debris from its Arizona waste streams. In addition, Intel has achieved significant progress in water stewardship, exemplified by its Ocotillo campus receiving a Platinum certification from the Alliance for Water Stewardship. This recognition underscores Intel’s commitment to water conservation and restoration, highlighted by its conservation of more than 3.3 billion gallons of water at Ocotillo in 2022. 

In addition to water conservation, Intel is committed to renewable electricity in Arizona. The company harnesses the power of the sun through its investment in alternative electricity with solar electric photovoltaic-covered parking lots at both the Ocotillo and Chander campuses. Additionally, Intel procures green power from utilities and various sources to fulfill all its Arizona electricity needs with renewable energy.

All these initiatives combined are just proof of Intel’s dedication to driving innovation and advancing technology while solidifying the company’s commitment to Arizona.  

Numbers Help Tell Intel’s Story

• The 342,000 cubic yards of concrete, used to erect nearly a mile and a half of steel trestles, is equivalent to filling 103 Olympic-size swimming pools.
• Intel has funded 21 nonprofit-led water restoration projects to support Arizona’s watersheds once fully operational; these initiatives are expected to restore nearly 2.2 billion gallons of water annually.
• Intel’s Arizona site has returned and restored more than 100% of its total freshwater use to local watersheds through its operations and community efforts, achieving net positive water in 2021 and 2022.
• Intel’s corporate goals are to achieve 100% renewable electricity use across its global operations, net positive water use and zero waste to landfills by 2030; net-zero greenhouse gas (GHG) emissions across its global operations by 2040; and net-zero upstream GHG emissions by 2050.