Intel is already thinking of pulling out of cutting edge chip production.

In an SEC filing, Intel wrote: “If we are unable to secure a significant external customer and meet important customer milestones for Intel 14A, we face the prospect that it will not be economical to develop and manufacture Intel 14A and successor leading-edge nodes on a go-forward basis. In such event, we may pause or discontinue our pursuit of Intel 14A and successor nodes and various of our manufacturing expansion projects.”

Intel considers abandoning leading-edge productionIn a note to Intel employees, CEO Lip-Bu Tan (pictured) wrote: “We’re developing Intel 14A from the ground up in close partnership with large external customers. Going forward, our investment in Intel 14A will be based on confirmed customer commitments. We will build what our customers need, when they need it, and earn their trust through consistent execution.”

Intel said it would honour  current customer commitments and continue with manufacturing plans already locked in for 18A, but future expansion and investment in newer nodes are not guaranteed unless major external contracts are secured.