US chipmaker Intel has confirmed that it will build a large semiconductor fab in Germany.
It will also expand or build in five other European countries as part of a €33 billion ($36 billion) EU chip investment.
In addition to a €17 billion ($18.6bn) chip fab in Magdeburg, Germany, Intel plans to build an R&D facility in France. In Italy, it expects to spend €4.5bn ($4.93bn) on a chip assembly and packaging plant; in Poland, it will expand its lab presence; and in Spain, it will launch a joint lab with Barcelona Supercomputing Center to explore 'zettascale computing.'
Over in Ireland, Intel plans to double its existing chip fab with a €12bn ($13.14bn) expansion.
The company expects the expansion to be part-funded by generous state subsidies, but warned investors that spending spree will impact short-term profits.
Intel said that it could spend $88 billion in Europe over the next decade.
The chipmaker is also building a $20 billion semiconductor fab in Columbus, Ohio, and spending $5.4bn on Israeli fab company Tower Semiconductor.
