Intel to invest up to €80 billion in European semiconductor market

Intel has announced its plans to invest up to €80 billion in the European Union over the next decade in semiconductor research and development, manufacturing, and packaging technologies.

The initial phase of this investment will see €17 billion earmarked for the creation of a, “semiconductor fab mega-site” in Magdeburg, Germany, an R&D and design centre in France, and investments in R&D, manufacturing, and foundry services in Ireland, Italy, Poland, and Spain.

Intel’s largest manufacturing plant outside the US, located in Leixlip, Ireland will also see an additional €12 billion invested as the company plans to double the manufacturing space and expand foundry services.

The Santa Clara-based firm is also eyeballing Italian soil and has entered negotiations that would see a €4.5 billion investment made in the creation of a back-end manufacturing facility, a “first of its kind in the EU with new and innovative technologies,” according to the company. This facility is in addition to the plans Intel already has in the works en italia based on the planned acquisition of Israel’s Tower Semiconductor, a firm that has a significant partnership with French-Italian multinational electronics and semiconductors manufacturer STMicroelectronics.

All in all, this initial investment will see Intel pump over €33 billion into the European semiconductor market.

In a video message EU President Ursula von der Leyen speaks to the investment

“The EU Chips Act will empower private companies and governments to work together to drastically advance Europe’s position in the semiconductor sector. This broad initiative will boost Europe’s R&D innovation and bring leading-edge manufacturing to the region for the benefit of our customers and partners around the world,” commented Intel CEO Pat Gelsinger. “We are committed to playing an essential role in shaping Europe’s digital future for decades to come.”