View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
16 March, 2022

Intel to invest more than €33bn in manufacturing and R&D across the EU

US tech giant Intel has announced substantial investment in manufacturing and R&D across France, Germany, Ireland, Italy, Poland and Spain.

By Naomi Davies

US-based multinational technology company Intel has announced the first €33bn ($36.3bn) phase of its investment plan in the EU. The company plans to invest as much as €80bn in the EU by 2032 across the entire semiconductor value chain, from R&D to manufacturing and packaging.  

In the initial phase, Intel plans to invest €17bn to develop two semiconductor fabs in Magdeburg, Germany, creating 3,000 permanent high-tech jobs. Construction is expected to begin in the first half of 2023, with production to start in 2027 pending European Commission approval.

The company plans to refer to the new site as the ‘Silicon Junction’. It will serve as a connection point for other innovation and manufacturing hubs across Germany and the wider region. Intel noted that Germany was the ideal location to establish the new fabs due to its highly skilled talent, excellent infrastructure, and existing ecosystem of suppliers and customers.

Intel is also investing €12bn to expand its operations in Leixlip, Ireland. The company will double its existing manufacturing space to bring Intel 4 process technology to Europe and expand foundry services.

In addition, Intel has started negotiations to open a state-of-the-art back end manufacturing facility in Italy. The factory would potentially represent an investment of up to €4.5bn, employ approximately 1,500 staff, and open between 2025 and 2027. Intel also plans to pursue foundry innovation and growth opportunities in Italy following its planned acquisition of Tower Semiconductor

In France, Intel plans to build a new European R&D hub. The new site will be located near Plateau de Saclay and create 1,000 high-tech jobs, with 450 available by the end of 2024. France will become Intel ’s European headquarters for high-performance computing and AI design capabilities. The company also plans to establish its main European foundry design centre in France.

In addition, Intel will increase its lab space by 50% in Gdansk, Poland, by 2023. The facility will focus on developing solutions in the fields of deep neural networks, audio, graphics, data centres and cloud computing.

Intel will also establish joint labs in Barcelona, Spain, in collaboration with the Barcelona Supercomputing Centre, to advance computing.

Since 2020, Intel has spent more than €10bn with European suppliers. This figure is forecast to nearly double by 2026 as the company works to rebalance silicon supply globally.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. Data, analysis and deep insights on foreign direct investment delivered to you
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Investment Monitor