$Intel(INTC)$ Some folks love to throw out FUD just to see what sticks.
TSMC is building its first European fab, with production expected to start in 2027. The $10.1 billion facility is getting half its funding from the German government. TSMC will own 70% of it. The chips will target automotive and industrial uses with mature 28/22nm and 16/12nm tech. The fab will only run 40,000 wafer starts per month. This government-subsidized plant won't even compete with Intel.
The small $2 billion IBM fab (also government-subsidized) is a foundry for quantum AI chips. It's significant for R&D but not for high-volume manufacturing.
Why aren't the people calling Intel a government welfare company saying the same about TSMC or IBM?
Intel's CapEx is expected to be roughly on par with last year, but it's shifting to tool spending as building and cleanroom construction wraps up. The Intel rocket is in the final stages before takeoff.
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