COLUMBUS, Ohio (WCMH) — U.S. tech companies have been left scrambling since DeepSeek debuted, and Intel has already been playing catch up.
DeepSeek, a Chinese AI company, has been swamping headlines since its release of an artificial intelligence program that is seemingly comparable to American competitors like ChatGPT but with far less computing power required. DeepSeek is the latest development in the global race for AI dominance, and central Ohio is playing its own role.
Intel’s $28 billion investment into central Ohio is intended to establish a state-of-the-art semiconductor chip manufacturing facility. In March, then-Lt. Gov. John Husted spoke with then-Intel CEO Pat Gelsinger about Ohio’s Intel project. Gelsinger told the Columbus audience that Ohio’s complex would become “the AI systems hub for America.”
According to a Congressional report, semiconductors are tiny electronic devices used for processing, storage, sensing and moving data, signals or information. Artificial intelligence innovation uses different types of chips to train AI programs and help them function.
Semiconductors don’t just power AI, they power essential technologies like smartphones, computers, cars and medical devices, according to the U.S. Department of Commerce. First debuted under former President Joe Biden, the CHIPS and Science Act gave the Department of Commerce $50 billion to fund and revitalize the U.S. semiconductor industry to help stay competitive in the global market. See previous coverage of CHIPS Act funding in Ohio in the video player above.
“The CHIPS for America program will supercharge American technology and innovation and make our country more secure – and Intel is expected to play an important role in the revitalization of the U.S. semiconductor industry,” U.S. Secretary of Commerce Gina Raimondo said.
Intel, once America’s poster child for U.S. semiconductor chip manufacturing, has since been plagued by financial woes, layoffs and the surprise retirement of Gelsinger in December. According to a report from the University of Cincinnati, Intel has lagged behind foreign companies in AI development and strategy. It joined other U.S. tech companies in a stock decrease after DeepSeek debuted at number one in the app store.
“The release of DeepSeek AI from a Chinese company should be a wake-up call for our industries that we need to be laser-focused on competing,” President Donald Trump said on Monday.
There have been few announcements of late regarding the Intel plant in Ohio, although super loads continue to arrive at the New Albany site and construction continues. Despite initial concerns of funding under Trump, signs point toward Intel’s construction continuing on its new schedule.
On Jan. 21, Intel leaders and Ohio representatives – including Husted, former Senator and current Vice President JD Vance and Gov. Mike DeWine – connected at the Ohio Inaugural Ball in Washington, D.C. On social media, Intel wrote that the company was excited to have discussed Intel’s progress in Ohio thus far, and looked forward to future collaboration this year.
Although Intel received its CHIPS Act funding, members of CHIPS Communities United (CCU) have been vocal about community concerns of Intel’s development. CCU is a coalition of unions, nonprofits and advocacy groups asking for increased transparency from Intel. According to CCU, Ohio is perhaps best situated among states receiving Intel CHIPS Act funds to have Intel live up to its promises. CCU said Ohio has stronger public reporting and metrics that Intel must live up to for its funding than the federal government’s contract.
Intel will announce its fourth quarter financial results this Friday, which will offer key insight into the company’s standing going forward.