Intel building new $11 billion factory

Israel confirms $1 billion state grant as the chip makers extraordinaire look to expand their operations in the country.

Subscribe to our newsletter here!

* Required field

According to Reuters, the Israeli minister of Finance has just today confirmed that Intel's new $11 billion chip factory, which is to be located in Kiryat Gat where Intel already has a factory, will be given a $1 billion state grant to ensure the construction of Intel's largest investment in Israel, while the state grant in itself is also the largest of its kind.

It seems that Intel has been in discussions with the Israelis for weeks, and while the company initially was unsure on where to place its new factory, Intel investments in Israel are already on a scale where it directly affects Israeli GDP according to Globe.

Investments from the outside contribute vastly to the Israeli economy, and while exports from Israeli based factories ensure large sums of money to the country, three companies alone, one of which is Intel, are responsible for half of the Israeli industrial exports.

Question is, how big can Intel become before the California-based company becomes too much of an outside economic influence for the relatively small economy?

Intel building new  billion factory

Loading next content