Intel's stock rose 0.6 % in premarket trading on Friday after the company announced plans to invest more than $20 billion in two new cutting-edge chip facilities in Ohio, a location that may eventually house eight of them.
According to Intel, overall investment in the 1,000-acre facility might be as high as $100 billion over ten years when fully built out, making it one of the world's largest semiconductor manufacturing facilities.
This comes after the business said in September that it will invest a comparable amount in two new units in Arizona. CEO Pat Gelsinger's latest effort is an attempt to bring the corporation back to its former glory days. It has either ceded markets or had fresh chances snatched up by more agile competitors throughout the years.
The expenditures are also in line with Gelsinger's ambitious strategy to increase semiconductor production in the United States, an effort aimed at reducing economies' dependency on China for essential components.
Air Products, Applied Materials, LAM Research, and Ultra Clean Technology have all expressed interest in setting up shop in the region, according to Intel.
The pledges come at a time when every chipmaker is pouring billions of dollars into meeting record chip demand as businesses and individuals increasingly gravitate to the digital world. While supply chains remain congested, causing a short-term shortage, manufacturers anticipate steady long-term demand.