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Intel Gets Israeli Fab Incentive

Earlier this year, Intel submitted plans for the expansion which will cost $5 billion and add 250 employees at the site.

Intel also undertook  to make local purchases worth $500 million.

Earlier this month, Intel said it had begun talks with the planning authorities in Israel, Ireland and Oregon about extending capacity  at those sites.

The intention was that construction could begin at those sites next year if market conditions require it.

‘Having additional fab space at-the-ready will help us respond more quickly to upticks in the market and enables us to reduce our time to increased supply by up to roughly 60 percent,’ said  Intel at the time.

There is currently a shortage of Intel CPUs. PC OEMs are complaining about a shortage of Intel CPUs which is also affecting the DRAM and NAND markets.

‘This year, we raised our capital expenditures forecast and put that money to work expanding our 14nm manufacturing capacity to increase supply,’ said Intel.

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