Intel 5nm Processor Launches in 2H21

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According to TrendForce, Intel has outsourced the production of about 15-20% of its chips, excluding processors. Most of the orders went to TSMC and UMC. However, this does not end there. In the second half of the year TSMC plans to start serial production of Core i3 processors at 5nm standards. Models of the middle and upper segment, designed for production at 3 nm, TSMC will begin to produce in the second half of 2022.

Intel had to order the release of processors from TSMC because of the difficulties with the independent development of advanced technical processes. Delayed in mastering the 10 and 7 nm standards, Intel began to lose its competitiveness. In particular, she lost such a customer as Apple. As you know, Apple is switching to its own processors, which are produced by the same TSMC on its order. TSMC also manufactures products for AMD, which is a competitor to Intel in the x86-compatible processor market.

TrendForce analysts believe that placing orders with TSMC will allow Intel to more effectively channel capital expenditures on cutting edge R&D by reserving in-house manufacturing for products with higher margins.

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