Feeds

New Intel Irish plants 'under threat'

Company considers position, report suggests

  • alert
  • submit to reddit

Intelligent flash storage arrays

A report has suggested that the IDA's decision to withdraw €170m in grant aid for Intel could have more severe consequences than originally thought.

The Irish Times has reported that Intel Ireland has sought planning permission to build as many as three new factories in Leixlip, Co Kildare, where it already employs some 4,700 people at a massive microchip manufacturing complex. However, the recent decision by the IDA to withdraw some €170m in grant aid for Intel could influence the company's stance on the construction of two of the three new facilities.

On Wednesday, the IDA, the government development agency, said that it would hold back the cash after receiving signals from Brussels that the grant aid package for a new wafer fabrication facility called Fab 24-2 may not be allowed under EU rules. Though Intel said that it will still build the factory, it warned that it would now reconsider other potential investments in Ireland.

On Friday, it emerged in an Irish Times report that these other investments may consist of two more wafer fabrication plants in Leixlip, for which planning permission has already been sought. In total the two additional plans would have cost some €2.8bn to build, and are likely to have employed hundreds of people.

Interestingly, these plants were not declared publicly when the IDA and Intel jointly announced the Fab 24-2 investment in May 2004. But according to the Irish Times, one of the two new facilities was in fact covered by €170m in proposed grant aid from the IDA. While Intel said that it will still go ahead with Fab24-2, it is understood that the second and third plants many not get the green light, thanks in part to the EU's decision to block the IDA's proposed funding for Intel.

© ENN

Related story

Ireland withdraws grants for €1.6bn Intel fab

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.