Intel would be installing a chip factory for $ 9 billion in Italy

Intel and Italy are in talks to install a chip factory worth 8 billion euros ($ 9 billion), two sources close to the matter told Reuters.

A deal of this size would secure Italy about 10% of the 80 billion euros that the American company hopes to spend over the next decade in Europe on manufacturing capacity to help avoid future chip shortages.

Intel said it is “Having constructive investment talks with government leaders in various EU countries”, but declined to comment specifically on the talks with Italian officials.

“We are encouraged by the many possibilities to support the European Union’s digital agenda and semiconductor ambitions by 2030. Although current negotiations are ongoing and confidential, we plan to make an announcement as soon as possible,” Intel said at a statement.

Chipmakers are scrambling to boost production after explosive demand for consumer electronics, such as smartphones and computers, as a result of the COVID-19 pandemic.

If Roma and Intel strike a deal, they will then proceed with choosing a site for the plant, the sources said.

Source: Reuters