Intel scores Panasonic fab contract

intel_log_reversedThe sales teams at Chipzilla have opened the champers after scoring a key contract with Panasonic.

Intel chips will now be under the bonnect of Panasonic’s upcoming TVs, stereos and other audiovisual gear.

Intel signed an agreement with Panasonic to make next-generation system-on-chips to process audio and video. The chips will be made using Intel’s 14-nanometer process.

Under the plan Chipzilla will work with Panasonic’s System LSI division, which makes video encoding/decoding and chips for TVs, Blu-ray players, set-top boxes and other products.

It seems that Panasonic will design the chips, which will then be sent to Intel’s fabrication plants for manufacturing. The Panasonic SOCs will be based around 3D transistors.

Intel said that adding a high-profile customer like Panasonic will enhance the visibility of Intel’s fledgling chip manufacturing operations.

The company has been slowly expanding its custom-chip business, opening up its factories to external companies as a way of making back some of the costs of upgrading factories.