As predicted, Intel has spun off their foundry business by establishing an offshore subsidiary Intel Foundry. It is now a subsidiary with its own director of operations and separate financial reporting with Intel. Also announced was the postponement of the construction of factories in Germany and Poland for two years. Construction will restart after seeing the market demand
Previously appeared to report the construction of the factory in Germany will be completely canceled. Malaysia will remain an active design and production hub with Intel planning to resume construction of their new packaging factory in Penang. However, this resumption will be re-adjusted to market conditions
At the same time the construction of factories in Arizona, New Mexico, Ohio and Oregon also continued because it had already received CHIPS Act funds under the Joe Biden administration to make the United States a competitive chip production center in the future.
Intel has already received $3 billion in funding to produce chips for the United States military. Also announced, Intel sold part of its stake in Altera which produces programmable chips