Broadcom tests using Intel’s 18A chipmaking process fail, Reuters reports

Intel’s (INTC) contract manufacturing business has suffered a setback after tests with Broadcom (AVGO) using Intel’s advanced 18A chipmaking process failed, Reuters’ Max Cherney reports. Broadcom has been testing silicon wafers at Intel’s manufacturing business for months, and after its engineers and executives studied the results, the company concluded the manufacturing process is not yet viable to move to high-volume production, according to three sources familiar with the matter. “Intel 18A is powered on, healthy and yielding well, and we remain fully on track to begin high volume manufacturing next year,” an Intel spokesperson said in a statement. “There is a great deal of interest in Intel 18A across the industry but, as a matter of policy, we do not comment on specific customer conversations.” A Broadcom spokesperson said the company is “evaluating the product and service offerings of Intel Foundry and have not concluded that evaluation.”