Intel intends to announce the construction of another “mega-fab” in the USA or Europe by the end of the year, explained Intel's CEO Pat Gelsinger in a press conference. Gelsinger expects “ten good years” with growth for the semiconductor industry, the time for expansion is ideal.
Of course, as has recently been the case with TSMC, Intel is accommodating that states like the USA and state associations like the European Union are currently leaning far out of the window with funding programs to attract the semiconductor industry. This goes hand in hand with generous subsidy programs accompanied by tax breaks, which should make it easy for semiconductor manufacturers to choose the location.
Germany wants Germany
The Handelsblatt reported at the end of April that Germany could have good cards for construction. Initially, two factories were to be built for synergies at one location; depending on the funding and boom in the industry, more could follow within ten years as expansion stages or even an additional complex. However, that sounded extreme, almost exaggeratedly optimistic and therefore a bit too much of a good thing, because Germany is not alone in the field. And of course the USA is far from out of the running. The last executive order from the president wants to see the companies in the country too, for which 52 billion US dollars were made available.
In the end, money will decide. Intel is aiming for at least 40 percent funding, referring to TSMC, which has such quotas in Taiwan, and Samsung, which achieves them in South Korea. With the 672 billion euro funding program, the EU recently cleared the way for at least 30 percent funding from the public sector, the rest of the federal and state governments could absorb the rest with other programs – provided there is real interest.
It is not certain whether it will be Dresden or another location in Germany in the end. Intel has already been present with development facilities in many cities in Germany and knows the situation in the country well. However, the large Intel factories in Europe are so far located elsewhere: in Ireland and, adjacent to the EU, in Israel. And these are also being expanded, in addition to the construction of a new mega-complex in the USA. Ultimately, however, in this case it will most likely be decided by the small states, whoever gives the most money will probably win.