Intel Sees 7–8% Monthly Yield Gains on 18A, Eyes H2 Foundry Deals
Intel’s foundry yields rose 7–8% monthly on its 18A process since CEO Lip-Bu Tan’s March 2025 appointment, spurring external customer engagement. The company anticipates multiple customer commitments in H2 as it readies its next-generation 14A process to narrow TSMC’s lead.
1. Foundry Turnaround Momentum
Since Lip-Bu Tan became CEO in March 2025, Intel’s advanced 18A manufacturing yields have improved by roughly 7–8% each month, a key indicator of chipmaking efficiency that has attracted interest from outside customers.
2. Competitive Landscape and 14A Development
Intel aims to close the technology gap with Taiwan Semiconductor by launching its next-generation 14A process, positioning it to better compete for contract chipmaking business as global foundry demand shifts.
3. Outlook for Customer Commitments
Management expects multiple binding agreements with external foundry clients in the second half of the year, a critical test of whether yield improvements convert into sustainable revenue growth.