Intel has signed a MOU with U.S. Defense Department to aid the domestic commercial chip development community

Sep, 2021 - By WMR

The chipmaker will implement the first step of the Rapid Assured Microelectronics Prototyping – Commercial (RAMP-C) program, which aims to enhance the domestic semiconductor supply chain.

Intel will collaborate with Cadence, Synopsys, IBM, and others to develop a domestic commercial foundry ecosystem as part of RAMP-C. According to Intel, the project was started to develop custom integrated circuits and commercial products required by Defense Department systems. Intel has announced proposals to invest around U.S$ 20 billion in the construction of two new facilities in Arizona, intending to become a significant provider to domestic foundry clients. According to the chipmaker, facilities will fulfill the product expansion demands.

President of Intel Foundry Services, Randhir Thakur, in an announcement said that through the RAMP-C initiative, both commercial foundry customers and the U.S. Department of Defense will be able to benefit from Intel's considerable investments in cutting-edge process technologies. In collaboration with Intel’s clients and ecosystem partners, including Cadence, Synopsys, IBM, and others, they will assist improving the domestic semiconductor supply chain and guarantee the U.S. maintains dominance in both manufacturing and R&D.

The chipmaker's collaboration with the U.S. Department of Defense happened at a time when the world is experiencing a worldwide semiconductor shortfall, which has been worsened by the pandemic and its influence on the global supply chain. Intel, along with other big tech and car companies, is in continuous contact with the White House about potential remedies to the shortage. Last month, Intel CEO Pat Gelsinger visited with Biden administration officials to discuss the intention to increase new chip plants and to seek subsidies.

Pat Gelsinger took over as CEO in January 2021, intending to bring the chipmaker around and pioneer new marketing techniques and production. Intel was believed to be in discussions to purchase chipmaker GlobalFoundry for U.S$ 30 billion a few months earlier, but there has been no word on that front.