Intel’s 18A process, a cornerstone of its advanced manufacturing strategy, is facing delays in high-volume production due to yield challenges, shifting the timeline from late 2025 to 2026. This delay affects Intel’s product roadmap, particularly the Panther Lake notebook platform, and its foundry business ambitions.
The 18A process, featuring innovations like RibbonFET (all-around gate transistors) and PowerVia (backside power delivery), aims to deliver a 25% performance boost at the same power or a 33% power reduction at the same performance compared to Intel 3, alongside a 30%+ increase in transistor density. However, achieving stable yields for these complex technologies has proven difficult. Current yields, estimated at 55%–65%, are insufficient for high-volume manufacturing (HVM). Intel is prioritizing process stability over rushing production, avoiding past issues where low-yield nodes led to higher costs and quality concerns.
The delay pushes the full ramp-up of 18A-based products, such as Panther Lake, to Q1 2026. While small-batch shipments and engineering samples may occur earlier, a sustainable supply for PC manufacturers depends on consistent yields. Factors like defect density, rework rates, equipment utilization, and process stability are critical to meeting HVM thresholds, and Intel aims to optimize these to reduce per-wafer costs and improve delivery reliability.
The 18A delay also impacts Intel’s foundry strategy. External customers rely on process design kit (PDK) maturity, IP ecosystem readiness, and production certainty when planning tape-outs. By prioritizing higher yields, Intel aims to enhance long-term competitiveness, despite short-term delays. Geopolitical and macroeconomic factors, combined with internal cost optimizations and layoffs, add further complexity to capacity planning and customer commitments.
For the market, this means 18A-based laptops are unlikely to see large-scale availability until 2026. Server and accelerator tape-outs will also face adjustments. Yield improvement typically follows a slow initial phase, accelerating as defects are reduced and processes are optimized. For 18A, challenges like nanosheet precision in RibbonFET and backside power integration in PowerVia require careful tuning to minimize rework and ensure quality.
Intel’s focus on stabilizing 18A before scaling production aims to avoid costly rework and warranty issues. Success hinges on clear milestones, such as PDK finalization, IP verification, and reliable early production lines. For the industry, the focus is on whether Intel can steadily improve yields and capacity over the next few quarters, delivering the promised performance, power, and cost benefits of 18A.