Intel plans to begin producing chips for car makers in 6-9 months at its factories, CEO Pat Gelsinger told Reuters, saying the company was in talks with suppliers of key components. The chips would alleviate a worldwide chip shortage affecting carmakers. The statement was made after Gelsinger met with White House officials to discuss the semiconductor supply chain. General Motors CEO Mary Barra, Ford Motor CEO Jim Farley and Chrysler-parent Stellantis NV CEO Carlos Tavares were also present at the meeting, as were executives from companies such as GlobalFoundries, Taiwan Semiconductor Manufacturing Co (TSMC), AT&T, Samsung and Google-parent Alphabet.
The meeting emphasised the importance of increasing transparency in the semiconductor supply chain to help mitigate current shortages, and improving demand forecasting, the White House said in a statement. Participants also discussed “the importance of encouraging additional semiconductor manufacturing capacity in the US to make sure we never again face shortages,” the statement noted.
Biden earlier said his administration wants to invest USD 50 billion into semiconductor manufacturing and research, under his USD 2 trillion infrastructure plan. Chip shortfalls could reach a potential 1.3 million in US car and light-duty truck production this year, market watchers say.
Intel announced last month that it would put USD 20 billion into building new factories in the US and Europe.
Later this week, the Senate Commerce Committee will hold its first hearing on a bipartisan measure to bolster technology research and development efforts in a bid to address Chinese competition.
