Intel’s big spending spree

Factory project in Magdeburg. © Intel.

Intel announced a new investment package that goes to bolster its chip manufacturing in Europe this time around. The company has committed 36 billion USD to date, and if it goes through with all planned projects, it will spend close to 88 billion USD in six countries. The lion’s share of these investments, or 18.5 billion USD, goes to a mega-factory in Magdeburg, Germany, about 150 km west of Berlin. Next, the Leixlip fab in Ireland will get 13 billion USD for upgrades. Elsewhere, Intel is building R&D centers in France and Poland that will both open next year, as well as a new supercomputer in Barcelona, Spain.

The European Union as well as the United States are keen to increase semiconductor manufacturing within their borders. Nearly all the most advanced chips are currently produced in East Asia, and in Taiwan specifically, which dominates thanks to TSMC, the world’s largest foundry. If production were spread out geographically, this could mitigate severe production and logistical issues caused by a pandemic as well as fallout due to geopolitical problems.

⇨ Ars Technica, Tim De Chant, “Intel announces another megafab as chipmaker expands EU footprint.”

2022-03-16