After months of suspense and several meetings with many heads of state, Pat Gelsinger, the CEO of Intel revealed his ambitions in a press release issued on March 15, 2022. Intel announcement a massive investment in Europe to build new production sites of semiconductors. Germany, France, Ireland, Italy, Poland and Spain are concerned.
Intel puts 33 billion euros on Europe
In Germany, Intel will build a new “mega-site for advanced semiconductor manufacturing” to 17 billion euros. This is the largest investment by the American in the announced plan and probably the largest ever in the country. In Ireland, the tech giant plans to expand an existing factory for 12 billion euros. In total, Intel will invest 33 billion euros to improve its production capacities in Europe.
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Over the next decade, the group’s strategy is to invest 80 billion euros within the European Union. The construction of the new German site should begin during the first half of 2023. Production will be able to start in 2027. This gigantic factory will be in Magdeburg. This new foundry will not only manufacture Intel products but should also contribute to the production of chips for Intel Foundry Services customers.
Germany, France, Ireland, Italy, Poland and Spain are concerned
This project should lead to the creation of 7,000 jobs in Germany for manufacturing the plant and 3,000 permanent jobs at Intel when the plant is operational. According to Pat Gelsinger, “The investments we are planning are a major step for both Intel and Europe. The European Union’s Microchip Law will dramatically improve Europe’s position in the semiconductor industry.”.
In France, the installation of two research centers on the Saclay plateau should create 1,000 jobs in ten years. In Italy, an investment of 4.5 billion euros must also enable the creation of a state-of-the-art factory and 1,500 new jobs at Intel as well as 3,500 additional jobs at suppliers and partners. This new factory will be innovative. Intel and Italy intend to make this facility a first of its kind in the European Union, using new and innovative technologies.
Intel ensures that this investment must also allow the realization of the European Green Deal. We can read in the press release of the American giant that “more efficient chips can reduce the power consumption of the next wave of digital hardware while supporting supercomputing and artificial intelligence solutions”.