Intel to spend US$2B in Irish facility

Intel said it planned to spend US$2 billion to expand its microprocessor manufacturing facility in Ireland.

The company said the money will be used to add an additional 60,000 square feet of manufacturing clean-room space, plus the equipment needed to make reduce the size of elements on a chip to 65 nanometers.

'The additional investment in the factory will help ensure that we have leading-edge manufacturing capacity to meet customer needs in 2006,' Bob Baker, senior vice president for Intel's Technology Manufacturing Group, said in a statement. 'The performance of our workforce in Ireland and our relationship with the government helped make this investment decision possible.'

Under terms of an agreement with the Irish Development Authority, Intel will receive grants and other incentives as it continues to invest in Ireland. Since 1989, the company has spend about US$6 billion in its Irish operations, where it employees 4,700 Intel workers and contractors, Intel officials said. The Irish facility is the largest Intel operation outside of the United States.