Intel job cuts won't impact Ohio One project

Intel plans to cut more than 15% of its workforce later this year, but the semiconductor plant under construction in Licking County is not affected, Axios has learned.

Why it matters: The massive, $28 billion project near New Albany is expected to create 7,000 construction jobs and 3,000 more permanent jobs on site.

• It was feared the cuts would impact this project as Intel faces intense competition in the AI chip wars against companies like Nvidia.

State of play: The company's U.S. projects remain on track despite the news, with Ohio One partially supported by federal funds from the Chips and Science Act.

• There are mainly construction workers on site at the moment.

What they're saying: "Intel continues to sustain investments to build a resilient and sustainable semiconductor supply chain in the United States and around the world," the company stated in an Aug. 1 news release that announced the job cuts.

The big picture: Intel said a majority of job cuts will occur by the end of 2024 and it will increase its cost-cutting plans by an additional $10 billion in 2025.