Intel CFO David Zinsner announced at a Morgan Stanley conference that the company’s foundry division is nearing advanced packaging deals worth billions of dollars annually. This focus on advanced packaging addresses the increasing complexity of AI accelerators that require the integration of multiple chips.
Zinsner also signaled a strategic shift by offering the cutting-edge 18A process technology to external foundry customers. This decision reverses Intel's previous stance of reserving the 18A node primarily for its own internal products.
Intel shares increased approximately 6% following the announcement, though the move occurred during a broader rally for semiconductor stocks. The foundry business maintains its target to reach break-even operating margins by the end of 2027.