Intel Chief Executive Lip-Bu Tan called for the semiconductor industry to reduce its reliance on Taiwan Semiconductor Manufacturing Co. as demand for artificial intelligence chips rises. Speaking at Splunk's .conf26 conference in Denver on the 14th, Tan said orders must be distributed among competing foundries and warned that the current CPU shortage will persist. TSMC accounted for more than 70% of global foundry revenue in the first quarter, according to Counterpoint, well ahead of Samsung Electronics, China's SMIC and Intel. Tan said Intel's foundry revival depends on advanced process technology, predictable yields and advanced packaging (assembling multiple chips in one package). Intel struggled with yields on its 14A, a 1.4-nanometer-class process, but agreed in April to supply the technology to the Terafab project led by Tesla and SpaceX, whose first product is due in mid-2028. Intel also hired Lee Seok-hee, former chief executive of SK hynix, in June to oversee advanced packaging and back-end technology development and manufacturing. Tan said Intel's EMIB packaging technology could compete with TSMC's CoWoS approach. He also emphasized CPU demand, saying Intel can serve only 50% of its customers as AI inference workloads expand toward millions and trillions of agents.