Intel postpones construction of enterprises in Germany and wants to receive $3.18 from the government

U.S. Processor Giant Intel Forced to Postpone Construction of New Semiconductor Plants

in Germany due to rising prices. The company wants German authorities to make up the difference.

What is known

Initially, the construction of two new plants fortesting and packaging of chips was estimated at €17 billion ($18 billion). Due to inflation, the company from California is forced to revise the cost of the project and expects that the difference will be compensated from the German budget. We are talking about the amount of €3 billion ($3.48 million). Construction was scheduled to begin in the first half of 2023, but Intel cannot guarantee this at this time.

Another problem is the falling demand forsemiconductor products. This is another reason why Intel does not know when the construction of two enterprises will begin. Both plants should appear in Magdeburg (Saxony-Anhalt). The first step towards construction was taken in late autumn, when an American company acquired two plots of land in the city.