Intel announces another megafab as chipmaker expands EU footprint

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Intel announced another string of investments yesterday, this time focused on shoring up its chipmaking efforts in Europe. The company has committed $36 billion so far, and if it completes all the projects it's considering, it’ll spend nearly $88 billion across six countries.

The centerpiece of the investment is a megafab in Magdeburg, Germany, some 70 miles west of Berlin. Intel intends to break ground next year on two new fabs and start etching wafers in 2027 using the company’s “most advanced, Angstrom-era transistor technologies.” Which ones those will be will largely depend on how successful Intel’s aggressive R&D efforts are over the next few years. Total bill for this part of the project: $18.5 billion. The new fabs will add capacity to feed its foundry ambitions, which Intel CEO Pat Gelsinger is betting will help the company regain the leading edge.

Next up are Intel’s existing fabs in Leixlip, Ireland. There, the semiconductor manufacturer is spending another $13 billion to upgrade and expand the factories to accommodate its Intel 4 process (previously known as 7 nm). The project is already underway and should start production in 2023.

Elsewhere, the company is adding research and development centers in France and Poland, both of which will open next year, and a new supercomputing center in Barcelona, Spain. It’s also mulling an advanced packaging facility in Italy.