Intel's new 18A process aims to compete with TSMC's 2nm technology, facing tough challenges.

From Nasdaq: 2025-06-23 00:05:00

Intel is investing heavily in its foundry business, with over $90 billion spent in the past four years. The company’s new 18A process, using 1.8nm technology, is in risk production, aiming to boost performance and power efficiency in chips. However, Intel faces tough competition from TSMC, which leads in the 2nm era with better performance and lower power consumption.

TSMC’s 2nm process, featuring gate-all-around transistor architecture, offers superior performance and lower power consumption compared to Intel’s 18A process. TSMC’s client base, including major customers like Apple and AMD, is loyal and massive. Even Intel is relying on TSMC for some upcoming processors, highlighting the industry’s competitive landscape.

While Intel claims its 18A process will outperform TSMC’s node, challenges remain with delays and weaker-than-expected demand. TSMC’s scale, ecosystem, and customer loyalty give it an advantage in the market. Intel’s stock performance has been volatile, unlike the stable returns of the Trefis High Quality Portfolio, which outperformed the S&P 500 over the last four years.



Read more at Nasdaq: Can Intel’s 18A Break TSMC’s 2nm Stronghold?