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Intel announced a 20 billion dollar (17.5 billion euros) investment in two US chip factories. In contrast, the billion-dollar plans for Europe seem to be at a standstill.

In September, Intel announced investments of $95 billion (84 billion euros) to construct chip factories in Europe. Two European chip factories were to be completed by the end of 2021. That deadline has not been met. At the same time, US plans are being executed according to schedule.

Today, Intel shared construction plans for a $100 billion (88 billion euros) plant in Ohio. Simultaneously, the organizations announced $20 billion for the construction of two new US factories.

European projects weren’t mentioned. Although Intel and the Italian government negotiated the site of an 8 billion euro plant in December, things went quiet shortly after.

European Chips Act

According to Patrick Gelsinger (CEO of Intel), Europe remains on the agenda. “We are a say-do company”, he told Reuters today. The CEO states that the organization is considering the specifics of executing its European plans.

Intel is likely waiting for the development of the European Chips Act, a legislative proposal from the European Commission. The law is designed to boost the production of European chips. The details will not be announced until February 2021.

Chip manufacturers and developers will likely be financed to boost their production. Intel is one of the bigger players, which explains the delay of its European factories.

Tip: Why the global chip shortage will persist into 2022