Intel is building its new multi-billion dollar megachip complex in Magdeburg, Germany. Intel boss Pat Gelsinger announced on Tuesday that 17 billion euros would be invested in the construction of two semiconductor plants. “It’s an ideal place.” After Tesla, another US company is helping eastern Germany to flourish once more.
The state capital of Saxony-Anhalt prevailed over Dresden, where Bosch, Infineon and Globalfoundries already have chip factories. “It will be the largest investment in the history of Saxony-Anhalt,” said Prime Minister Reiner Haseloff (CDU). “It will be a quantum leap for our country.”
In the middle of the current chip crisis, Intel is on an unprecedented course of expansion. In addition to Magdeburg, the US group wants to build a new research center in France and invest in Ireland, where Intel currently operates the only European plant, as well as in Italy, Poland and Spain. According to Gelsinger, Intel also wants to serve orders from other companies, especially in Ireland, and thus compete more with the largest global contract manufacturers TSMC and Samsung. A total of 33 billion euros are to flow in Europe initially.
Intel originally wanted to announce the location decisions in 2021, but then waited for the starting signal for the “European Chips Act” at the beginning of February, which paved the way for billions in subsidies from public and private sources.
