Intel has begun using ASML’s next-generation High Numerical Aperture (High NA) extreme ultraviolet (EUV) lithography system to manufacture parts of its flagship Panther Lake laptop processors, marking one of the first commercial deployments of the industry’s most advanced chipmaking equipment.
The decision, which marks an important milestone in the evolution of semiconductor manufacturing, signals Intel’s willingness to introduce the cutting-edge technology into actual production rather than limiting it to research and development. This potentially gives the company valuable experience ahead of rivals as the semiconductor industry races to build increasingly powerful AI and high-performance computing chips.
ASML announced on Tuesday that Intel has started using High NA EUV systems to produce selected layers of Panther Lake processors following experiments that began in 2024.
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The High NA EUV machine represents ASML’s most advanced lithography system to date and is widely viewed as one of the semiconductor industry’s most important technological breakthroughs.
Lithography is the process of projecting patterns onto silicon wafers using light to create the billions of microscopic transistors that power modern processors. As chips continue shrinking toward atomic dimensions, existing manufacturing techniques are approaching their physical limits, making High NA technology increasingly critical for future generations of semiconductors.
Intel is using the new system to manufacture specific layers of its Panther Lake processors, which are built using the company’s advanced 18A manufacturing process. The remainder of the production continues to rely on ASML’s conventional EUV machines.
By selectively introducing the technology rather than deploying it across the entire manufacturing process, Intel and ASML will be able to gather production data, refine manufacturing techniques, and improve the performance and reliability of the equipment before broader adoption.
The approach reduces production risk while allowing Intel to develop expertise with a technology that many analysts believe will become essential for producing chips below the industry’s most advanced process nodes.
Intel became the first chipmaker to receive a High NA EUV system in 2024, installing the machine at its Hillsboro, Oregon, research and development facility, where it develops next-generation manufacturing technologies.
The latest announcement marks the transition from laboratory testing to commercial production.
Despite its technological advantages, widespread adoption of High NA EUV remains limited because of its enormous cost and operational complexity. Each High NA system costs roughly $400 million, approximately double the price of ASML’s existing EUV machines, making it one of the most expensive manufacturing tools ever developed.
Beyond the purchase price, chipmakers must also redesign parts of their production processes to accommodate the new technology, adding further costs and engineering challenges.
Those factors have fueled an industry-wide debate over when it becomes economically viable to introduce the systems into mass production. But Intel’s decision to deploy the machines for only selected layers reflects a cautious approach that balances technological advancement with manufacturing economics.
For ASML, Intel’s production deployment indicates a significant validation of the technology and could encourage broader adoption among other leading semiconductor manufacturers.
The move comes as semiconductor companies are investing aggressively to meet surging demand for AI processors, high-bandwidth memory and advanced computing infrastructure. Manufacturers, including Taiwan Semiconductor Manufacturing Co. (TSMC), Samsung Electronics, and Intel, are all competing to produce increasingly sophisticated chips for customers such as Nvidia, AMD, Apple, Microsoft, and other AI infrastructure providers.
Intel’s early adoption could also strengthen its effort to regain manufacturing leadership after years of falling behind TSMC and Samsung in advanced chip production. The company has made its 18A process central to its turnaround strategy, with Panther Lake expected to showcase Intel’s latest manufacturing capabilities while serving as a testbed for technologies that will underpin future generations of processors.
The development cements ASML’s dominant position in the semiconductor equipment industry. The Dutch company remains the world’s only supplier of EUV lithography systems, giving it a critical role in enabling continued advances in semiconductor technology.
As AI-driven demand pushes chipmakers toward ever-smaller and more powerful processors, High NA EUV is expected to become an important part of the industry’s long-term manufacturing roadmap, even if broad adoption remains several years away.