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Intel Resumes Construction on Fab 62 in Chandler, Targets 2028 Production
Intel has restarted construction and equipment installation at its Fab 62 chip factory in Chandler after a year-long pause over demand concerns, with production now expected by the end of 2028 as part of a $20 billion expansion.
Intel is moving forward with construction of a new semiconductor factory at its Ocotillo campus in south Chandler, with the company now targeting the end of 2028 for the plant to begin production. The project had been slowed for more than a year while Intel waited to confirm sufficient demand for the additional capacity.
Construction and equipment installation are now under way at the facility, known internally as Fab 62. It will be the company's sixth large-scale chip factory at the Ocotillo campus and will sit next to the plant Intel opened in 2025, which produces its most advanced chips, including Panther Lake processors for laptops.
"Meeting demand requires scale," Naga Chandrasekaran, Intel Foundry's chief technology and operations officer, wrote in a company blog post announcing the timeline.
The new factory is part of a $20 billion expansion Intel began in 2021. The company has not disclosed the cost of Fab 62 or how many workers it will employ.
Intel employed nearly 10,000 people in the Phoenix area as of October 2025, down from more than 12,000 in 2024, according to reporting by the Phoenix Business Journal.
The resumption of work at Fab 62 comes as Intel seeks to rebuild its manufacturing footprint and compete in the global chip market. The Chandler campus has been central to those efforts, and the new plant is expected to add capacity for advanced semiconductor production in the East Valley.
For Chandler and the surrounding region, the project represents a significant long-term investment in high-tech manufacturing jobs and infrastructure, though the company's shifting workforce numbers and the earlier pause on construction illustrate the volatility that can accompany large-scale corporate expansions.