Intel is hoping to cash in on the AI boom.
<p>Sixteen miles north of Albuquerque, in Rio Rancho, New Mexico, an <a href="https://www.wired.com/story/intel-arizona-fabrication-chips-trump-manufacturing/">Intel chip plant</a> sits on more than 200 acres of land. The site was established in the 1980s, part of it built on top of a sod farm. In 2007, as Intel’s business faltered, operations in one of the key fabs, Fab 9, came to a halt. Employees say families of raccoons and a badger took up residence in the space.</p>
<p>Then, in January 2024, the dormant fab was booted up again. Intel funneled billions into the facility, including $500 million it was granted from the US CHIPS Act. Now, Fab 9 and its neighbor, Fab 11X, are critical infrastructure for one of Intel’s quietly fast-growing businesses: advanced chip packaging.</p>
<p>Packaging involves combining multiple chiplets, or smaller components, onto a single, custom chip. Over the past six months, Intel has been signaling that its advanced packaging business, which operates within the Foundry chip-making arm of the company, is having a growth spurt. The company’s efforts around this have it going head-to-head with <a href="https://www.wired.com/story/tsmc-tariffs-trump-impacts/">Taiwan Semiconductor Manufacturing Corporation</a>, which far surpasses Intel’s production in terms of scale. But in an era where <a href="https://www.wired.com/tag/artificial-intelligence/">AI</a> is driving demand for all kinds of computing power, and leading nearly every major tech company to consider making its own custom chips, Intel thinks this effort can help it grab a bigger slice of the AI pie.</p><p><a href="https://arstechnica.com/gadgets/2026/04/intel-is-going-all-in-on-advanced-chip-packaging/">Read full article</a></p>
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