Intel announces multibillion investment plan for Europe



US tech giant Intel has announced the first phase of plans to invest €80 billion ($87.9 billion) in Europe over the next 10 years. The investment focuses on the research and production of semiconductor chips, which are crucial components in computers, smartphones and other electronic devices. To get more intel updates, you can visit shine news official website.

The company said that the German city of Magdeburg had been identified as the site of a new hub to develop "two first-of-their-kind semiconductors." Germany was described as "the ideal place" for a new hub, with Intel calling it a "silicon junction" for chipmaking.

The company said that the project would create 7,000 construction jobs and 3,000 permanent high-tech jobs.

It said there would also be tens of thousands of jobs across suppliers and partners. The company would also expand facilities in France, Ireland, Italy, Poland and Spain.

In February the European Union unveiled its new Chips Act, in which the bloc announced it would spend some €42 billion ($48 billion) in public and private funds to become a microchip producer,  with the aim of breaking dependency on Asian markets.

Pat Gelsinger, CEO of Intel, said: "Our planned investments are a major step both for Intel and for Europe. The EU Chips Act will empower private companies and governments to work together to drastically advance Europe’s position in the semiconductor sector."The EU is moving to boost its economic self-sufficiency in the critical semiconductor sector, which has been plagued by supply chain shortages for more than a year.

Microchips, otherwise known as semiconductors, are made mainly in Asia. Dependence on a limited number of chip producers in Asia has raised concerns in the West as massive shortages have brought assembly lines to a halt.

EU Commission President Ursula von der Leyen hailed the announcement calling it the "first major achievement under the EU Chips Act. This is just the beginning," von der Leyen said in a tweet, adding, "we are open for business."