MediaTek and Intel have introduced that some MediaTek processors can be manufactured by Intel Foundry Companies (IFS). At the moment, this manufacturing association will concern “sensible edge gadgets,” a fairly imprecise description that would embody something linked to a Wi=Fi/4G/5G wi-fi community.
That stated, IFS at present operates 22nm (nanometer) Fabs, which might serve MediaTek’s Wi-Fi chipset line of merchandise, for instance. We don’t have sufficient knowledge to evaluate which merchandise Intel will work on.
It’s an enormous win for the younger (2021) Intel foundry companies enterprise as MediaTek has gathered numerous momentum prior to now two years, breaking information quarter after quarter. MediaTek has launched extraordinarily aggressive platforms with a major market share within the sensible gadgets enterprise.
From MediaTek’s standpoint, it’s a diversification transfer as Intel is predicted to increase/open manufacturing crops (“Fabs”) within the USA and Europe. Such diversification would defend MediaTek from supply-chain shocks as we’ve seen because the Pandemic or potential geopolitical points associated to Taiwan.
Unsurprisingly, MediaTek at present contracts TSMC in Taiwan to fabricate most of its chips. Though TSMC does a stellar manufacturing job, it’s so massive that it may very well be a single logistical choke level if any disaster occurs. Geopolitics apart, Taiwan can also be topic to Typhoons, droughts, and Earthquakes.
It can in all probability take years for the semiconductor business to surpass the present supply-chain points. Nevertheless, the diversification plans would make it far more resilient than it’s right this moment, although the economics may not be as optimum as pre-2020.
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