Intel’s chipmaking business lost $7 billion last year

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Intel’s recent investment in extreme ultraviolet (EUV) lithography machines should turn things around by 2027.

Intel’s chip-making division accumulated $7 billion in operating losses in 2023, Reuters reported on Tuesday. That’s a big increase from $5.2 billion it lost in 2022, and while it made $18.9 billion in revenue in 2023, that number is down 31 percent from the $27.49 billion it made the year prior. However, based on CEO Pat Gelsinger’s comments to investors, the total loss isn’t a total surprise.

, when previously it decided not to. Gelsinger expects the cost-effectiveness of those tools to help Intel break even by 2027. also says on its website that its technology makes scaling the mass production of computer chips more affordable for chip foundries like Intel. It sounds like Intel may have made the right call just in time. In total, Intel plans to spend around $100 billion building or expanding its chip foundries in four states. It also will receive up to $8.5 billion in funding from the U.S. government, as part of the new CHIPS Act.

 

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