Intel Delays Groundbreaking on Ohio’s ‘Silicon Heartland’ over ‘Uncertainty’ on Federal Chip Legislation

Intel has delayed the groundbreaking ceremony for its new Ohio plant referred to by the company’s CEO as the start of a “Silicon Heartland” due to worries over a proposed law designed to support U.S. semiconductor production.

The Wall Street Journal reports that Intel has told lawmakers and officials that it is indefinitely delaying the groundbreaking ceremony of its planned multibillion-dollar chip-making facility in Ohio due to frustration over the uncertainty surrounding proposed legislation that would support U.S. chip manufacturing.

The ceremony was previously scheduled for July 22nd; Intel has since informed Ohio Gov. Mike DeWine (R) and members of Ohio’s congressional delegation that it is delaying groundbreaking “due in part to uncertainty around” the proposed legislation, called the Bipartisan Innovation Act.

However, Intel hasn’t pushed back the planned construction date and appears to still plan on building the facility. Intel announced the plant in January and intends to invest at least $20 billion in the facility with construction planned to begin in late 2022 and chip production beginning in 2025.

The company believes that spending on the project could reach $100 billion over the next decade, but that the plant expansion depends partly on the chip production legislation. The legislation — often referred to the CHIPS act — includes approximately $52 billion in funding for expanding domestic semiconductor production and research and development.

An Intel spokesperson commented: “Unfortunately, CHIPS Act funding has moved more slowly than we expected and we still don’t know when it will get done.” The spokesperson called on Congress to act so Intel “can move forward at the speed and scale we have long envisioned for Ohio” and other U.S. projects.

The Ohio plant has been repeatedly highlighted by President Biden as an example of a key manufacturing development and an indicator that the U.S. is taking a larger role in the global semiconductor industry rather than relying on countries like China as it has in the past. Biden previously met with Intel CEO Pat Gelsinger and mentioned the Ohio plant in his State of the Union address.

Read more at the Wall Street Journal here.

Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship. Follow him on Twitter @LucasNolan or contact via secure email at the address lucasnolan@protonmail.com