The announcement comes as U.S. automakers struggle to source semiconductors for vehicle production.
Intel Corp. is making major plays in the field of semiconductor manufacturing. The Santa Clara, California-based technology and electronics company announced it would spent $20 billion on two new semiconductor factories in Chandler, Arizona. The plants are expected to employ 3,000 people in high-tech manufacturing jobs.
In addition, Intel will form a standalone semiconductor manufacturing business, Intel Foundry Services, in order to serve growing global demand for computer chips, with plans for more semiconductor factories elsewhere in the U.S. and Europe.
The new standalone business will help Intel challenge rival chip manufacturers around the world like Samsung Semiconductors of South Korea and TSMC of Taiwan, which currently produce many of the computer chips used in electronic products from cell phones and laptops to electric vehicles and refrigerators.