Since Lip-Bu Tan took charge as Intel CEO in March 2025, the semiconductor giant has been in the headlines for laying off workers, changing leadership, making operational cut-offs, and giving an average first-quarter earnings report. Now, the company is planning to make its foundry successful in complying with its contract manufacturing customers who are planning to build test chips for advanced manufacturing processes. 

At the company’s Direct Connect conference for its foundry or the contract chip business, the semiconductor giant received positive interest from its customers. Tan also affirmed that the company is working hard to revamp its foundry operation and make it successful for advanced chip manufacturing. He stated 

 “I’m committed to (making) the Intel foundry successful, and I know there are areas we need to improve.”

Tan is bringing new policies and initiatives to boost the AI domain of the company. For that, Sachin Katti has also been promoted to the chief technology officer and artificial intelligence chief. However, his ultimate goal is to compete with TSMC. 

Intel Working on high-NA EUV 

Under the leadership of Tan, Intel is planning to develop an advanced chipmaking tool, high-NA EUV, through the still-in-development manufacturing process, 14A. The process also requires the latest and advanced power delivery technology. Although this advancement will improve the efficiency of the chip making process, it has its risks. Intel’s foundry tech chief, Naga Chandrasekaran, believes that the company can continue working with the old machinery. Still, it will be a repetition of Intel’s 2010 mistake when the company declined to use an earlier generation of EUV machines, and TSMC boosted its growth with the new technology. 

For now, Intel has distributed an early version of the digital design kit, which is required to ensure a chip blueprint can be put up for large-scale manufacturing.