Bloomberg quoted people familiar with the matter as saying that Intel has signed an agreement with the German government, and the government and the German government will provide the US company with a value of 10 billion euros to build a semiconductor manufacturing plant in Magdeburg, eastern Germany.
▲ Source: Intel
German Chancellor Olaf Scholz and Intel Chief Executive Pat Gelsinger will sign the deal at a ceremony in Berlin later on Monday, the people said. Of course, these people requested anonymity because the official announcement has not yet been made.
Some time ago, it was reported that the German government originally planned to provide Intel with subsidies of 6.8 billion euros. However, Intel said it asked the German government to increase the subsidy to 10 billion euros due to rising energy prices and construction cost overruns.
▲ Source: Intel
In response, Lindner said there was no additional money in the government budget and he was firmly opposed to increasing subsidies. It is noticed that Intel’s semiconductor project in Magdeburg is the largest foreign investment in German history, with a total investment of 17 billion euros. Intel’s project is at the heart of the European Union’s ambition to boost its share of the global semiconductor market to 20 percent by 2030 from less than 10 percent today.
