Intel will build a new major European chip factory. It will not come to Belgium but to Germany. Intel would choose Magdeburg as its location.
Intel chooses Germany to build a major new chip plant. France, Italy, as well as Belgium, the Netherlands and Luxembourg hoped to bring in the plant themselves. According to German media, Intel is now said to have tied the knot. The factory is to come near Magdeburg, which thus wins over domestic competition. After all, Dresden and smaller Penzing also hoped for the arrival of the world’s largest processor manufacturer.
The planned plant will be a massive high-end facility that will build Intel’s most modern processors. The site would employ at least 1,000 people directly, disregarding suppliers.
Strategically less dependent
Europe wants to reduce its strategic dependence on the Far East on microchips. As part of that ambition, the EU wants to lure major chip specialists such as Intel to European territory. It has now succeeded, although the investment comes with a price tag. After all, Intel can expect to receive the necessary subsidies. The investment is therefore not minus: a new chip factory will soon cost up to 20 billion euros.
Official confirmation remains outstanding for now, although the reports seem reliable. Moreover, the plans fit well with what Intel communicated earlier and European plans. On March 4, Intel would announce more details.
That Belgium is missing out on the investment is a pity. However, our country has several assets. For example, Intel and Imec are partners in research into modern manufacturing codes and there is the proximity with ASML in the Netherlands. Moreover, tech giants are not averse to investing in Belgium. Google has had data centers in Wallonia for years and recently announced additional investments. However, data centers do not employ as many people. The high labor costs in our country make us less competitive in the case of a plant that will employ many people.