Is that the scale of construction can be reduced.
Speculation by some industry experts about an unprecedented decline in demand for semiconductor products prompted Intel to say that it is not abandoning plans to build new facilities in Ohio and Magdeburg, Germany. Relevant statements on the pages of the corporate blog were made by Executive Vice President Keyvan Esfarjani, who is responsible for the company’s operations around the world.
Image Source: Intel
Recall that in Ohio, the company is going to build two enterprises that by 2025 will be able to issue products manufactured using Intel 18A technology. At the first stage, the corporation is ready to invest $20 billion in this project. In Germany, this week, Intel has already acquired a piece of land on which two enterprises for testing and packaging chips will be built. This project was originally estimated at 17 billion euros. In the United States, a construction contractor has already been selected for work at the site in Ohio, with whom a contract has been concluded.
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Intel’s management is making it clear that it is committed to investing heavily in building new facilities even as the semiconductor market is in decline. The processor giant is confident that the market will return to growth, but the company needs to prepare for this event now, since it takes three to five years to build new enterprises. The only thing that worries Intel in the current environment is the likely need to adjust project budgets downwards. The company expects to work closely with local authorities on this issue, obviously counting on generous subsidies.
