Intel to invest up to €80 billion in Europe semiconductor network

American chip-making giant Intel said on Tuesday it planned to invest up to €80 billion in Europe over the next decade for the research and manufacturing of semiconductors.

The project included a €17 billion “mega site” in Magdeburg, Germany, for the production of the scarce and strategically important component, the group said in a statement.

The US group would also develop its research and development centre in France, as well as expanding its facilities in Ireland with a €12 billion funding boost and investing in Italy, Spain and Poland.

The details of the announcement were hotly anticipated in Europe, where governments have been looking to reduce their dependency on imports of chips from Asia by boosting production at home.

Intel’s investment “addresses the global need for a more balanced and resilient supply chain”, CEO Pat Gelsinger said in a press conference. Semiconductors, also referred to as chips, were “more critical than ever”, and were the “brains powering essential digital technologies”, he said.

The production of semiconductors has become a strategic priority in Europe as well as the United States, after the shock of the pandemic choked off supply, bringing...