Article originally posted on In Business on Oct 22 2026

Intel is moving forward with its Fab 62 semiconductor factory at its Ocotillo campus in Chandler, with construction and manufacturing equipment installation underway and operations expected to begin by the end of 2028.

The facility will become the campus’s sixth factory dedicated to high-volume chip manufacturing. Naga Chandrasekaran, executive vice president and chief technology and operations officer for Intel Foundry, outlined the project’s progress in an update on the company’s U.S. manufacturing network.

Fab 62 is part of Intel’s previously announced Arizona investment program totaling more than $32 billion. That program includes two new semiconductor factories and modernization of an existing facility at Ocotillo. Intel says the additional capacity will support its own products and customers that contract with Intel Foundry to manufacture their chips.

Intel broke ground on Fab 52 and Fab 62 in September 2021. Fab 52 subsequently became Ocotillo’s fifth high-volume manufacturing facility and produces chips using Intel 18A technology, including the company’s Core Ultra Series 3 processors, code-named Panther Lake. The continued development of Fab 62 advances the second factory in that expansion.

Arizona also supports several stages of Intel’s semiconductor development beyond chip fabrication. The company conducts advanced packaging research and development, assembly and testing in the state, connecting manufacturing with the processes used to combine and prepare chips for finished products.

Intel’s Arizona presence dates to 1979. The company reports an annual economic impact of $10.7 billion in the state, supported by its existing operations, employment and purchases from businesses. Fab 62 will expand that established manufacturing footprint as Intel adds domestic semiconductor capacity.