{"id":4650,"date":"2022-03-22T20:36:11","date_gmt":"2022-03-22T20:36:11","guid":{"rendered":"https:\/\/supplyframe.com\/?p=4650"},"modified":"2025-03-28T21:00:20","modified_gmt":"2025-03-28T21:00:20","slug":"italy-semiconductor-investment-intel","status":"publish","type":"post","link":"https:\/\/intelligence.supplyframe.com\/cs\/italy-semiconductor-investment-intel\/","title":{"rendered":"$4.6 Billion Italian Incentive Bill Designed to Land Intel\u2019s Next EU Fab"},"content":{"rendered":"

The Italian government recently announced a $4.6 billion investment<\/a> in domestic chip manufacturing, to be completed by 2030. This is a direct attempt to secure the country as the location of Intel\u2019s next European fab site, and all the attending jobs and tax revenues that come along with it. Rome will use tax revenue, along with a portion of the funds made available by the EU Chips Act<\/a>, to finance the effort.<\/p>\n\n\n\n

Prime Minister Mario Draghi\u2019s government approved the plan just weeks after Intel chose Magdeberg, Germany<\/a> as the site of their first new European plant, a move that\u2019s a part of Intel\u2019s approximately $100 billion, eight-phase investment in diversifying the global semiconductor supply chain. <\/a><\/p>\n\n\n\n

Rome has been wooing Intel for months<\/a> in an effort to become home to an innovative new chip packaging fab that\u2019s expected to cost $9 billion over the course of a decade. The U.S. chip titan is reportedly asking for favorable energy rates and labor assistance among other concessions. <\/p>\n\n\n\n

Italy will use the money for “research and development of microprocessor technology and investments in new industrial applications of innovative technologies,” along with upgrading existing industrial sites to be fab-friendly.<\/p>\n\n\n\n

Interestingly enough, and potentially to set his nation up for Intel success, Draghi invoked his government\u2019s \u201cGolden Power\u201d and blocked the acquisition of Italian semiconductor equipment <\/a>supplier LPE<\/a> by Chinese investment group Shenzhen Invenland Holdings in spring of 2021. LPE\u2019s machinery treats silicon with chemicals that make it ready to become chips, and is crucial to the semiconductor supply industry.<\/p>\n\n\n\n

It\u2019s no surprise, and nothing new, that governments want semiconductor fabs within their borders. Fabs mean jobs, often good ones. Take Intel\u2019s recently announced plant just outside of Columbus, Ohio. Its $20 billion investment promises to bring<\/a>:<\/p>\n\n\n\n