Former Intel CEO Defends 18A Process, Asserts Yield Rate Percentage Is Not the Right Metric for Semiconductor Progress

Pat Gelsinger Defends Intel Foundry’s 18A Process Amid Yield Rate Controversies

In a surprising turn of events, former Intel CEO Pat Gelsinger has come forward to vigorously defend the company’s 18A process amidst reports of subpar yield rates. After facing immense pressure from the board that led to his recent exit, Gelsinger expressed confidence in the team’s efforts, asserting that they are “doing incredible work.”

Background on Intel’s Challenges and the 18A Process

Intel has found itself mired in controversy, with financial struggles affecting its reputation and operations. Recent reports indicated that the yield rates for the much-anticipated 18A technology were below 10%, prompting accusations of inadequacy. Media outlets characterized these figures as “abysmal,”raising concerns about the feasibility of high-volume production for the semiconductor giant.

Thank you, Pat, for helping to set the record straight. I’m very proud of the TD/18A team for the incredible work and progress they are making.

— Pat Gelsinger (@PGelsinger) December 7, 2024

Clarifying Misconceptions About Yield Rates

In a response to analyst Patrick Moorhead’s claims that Intel’s 18A process was not tested using the latest Process Design Kit (PDK), Gelsinger provided critical insight. He pointed out that yield rates should not be solely assessed through percentage metrics without considering die sizes. A significant yield discrepancy arises between larger and smaller chips, where large dies typically yield lower percentages.

Speaking about yield as a % isn’t appropriate. Large die will have lower yield, smaller die – high yield percentage. Anyone using % yield as a metric for semiconductor health without defining die size doesn’t understand semiconductor yield.

— Pat Gelsinger (@PGelsinger) December 7, 2024

Strategic Implications for Intel’s Future

While Gelsinger’s defense of the 18A process may shed light on the intricacies of semiconductor production, it also highlights the ongoing turmoil within Intel. Despite his aspirations to transform Intel Foundry into the “world’s largest”by 2030, Gelsinger’s recent departure reflects the mounting pressures on the company.

As Intel navigates this “mudpit,”industry insiders anticipate aggressive restructuring initiatives aimed at revitalizing its operations. Possible strategies may include significant shifts in leadership and potentially divesting parts of its Integrated Device Manufacturing (IDM) business.

The situation remains fluid, and as Intel recalibrates its focus, stakeholders will be watching closely to see how these changes unfold and whether Gelsinger’s reassurances will translate into tangible improvements for the beleaguered company.

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