Intel Plans to Spend $7 Billion on New U.S. Plants

[Purveyor]

Source: Bloomberg

Feb. 10 (Bloomberg) -- Intel Corp., the world’s largest maker of computer chips, will spend $7 billion on new plants in the U.S. over the next two years, an effort to extend its lead in manufacturing technology.

The investment will boost production of so-called 32- nanometer chips at sites in Oregon, Arizona and New Mexico, Intel said in an e-mailed statement. Chief Executive Officer Paul Otellini will talk about the plans at an event today at the Economic Club of Washington.

Intel, the biggest spender in the chip industry, is aiming to build more advanced plants at a time when its competitors can’t afford to. Chip-industry profits are drying up as global demand for personal computers plummets. The investment will support about 7,000 jobs, Intel said.

The announcement won’t change Intel’s current capital spending plans. The company’s budget for new plants and equipment this year will be little changed or slightly lower than 2008’s $5.2 billion, Santa Clara, California-based Intel said last month.

Read more: http://www.bloomberg.com/apps/news?pid=20601087&sid=aJW6wwW94xt4&refer=home

[LakeSamish706]

1. Seems like a good Corporate citizen to me... If so, they should be rewarded...

with some significant tax breaks for there efforts.

[dbackjon]

3. They already have them.

[BumRushDaShow]

2. Some rare good news.

Let's hope this goes through.... Intel's chips are priced higher than competitors like AMD but I would be willing to go back to buying Intel if they are seriously committed to investing in U.S. plants and workers.