Intel said to be close to $5 billion Italian deal
Intel is reportedly closing in on completing a deal to build a semiconductor packaging and assembly plant in Italy – a deal worth an initial USD 5 billion.
Intel has previously stated that it has plans to expand its footprint in Italy. When the US chipmaker announced its EUR 33 billion EU expansion plan, the company said that it had entered into negotiations in Italy to enable back-end manufacturing facility. With a potential investment of up to EUR 4.5 billion, this factory would create approximately 1,500 Intel jobs plus an additional 3,500 jobs across suppliers and partners. If all the puzzle pieces fall into place, operations at this new Italian site could start between 2025 and 2027.
However, two sources briefed on discussions told Reuters hat the country is ready to fund as much as 40% of Intel's total investment in Italy – which is expected to rise over time from an initial USD 5 billion.
The sources said that the government is currently working to have an agreement in ready by the end of August. Adding to this, Intel and the government have apparently narrowed down the potential location for the site to two regions, namely Piedmont and Veneto.