- tech360.tv
Intel To Invest $25 Billion In Israel's Factory, The Largest-Ever International Investment
Updated: Jan 3
[Edited] In a groundbreaking announcement, U.S. chipmaker Intel Corp has revealed plans to invest $25 billion in a new factory in Israel.
Prime Minister Benjamin Netanyahu hailed this as the largest-ever international investment in the country. The factory, located in Kiryat Gat, is set to open in 2027 and operate until at least 2035, providing employment opportunities for thousands of people.
According to Israel's Finance Ministry, as part of the deal, Intel will pay a 7.5% tax rate, an increase from the current 5%. This significant investment demonstrates Intel's commitment to the Israeli economy and its confidence in the country's potential.
Intel has been a key player in Israel's electronics and information industry for nearly five decades. It is the largest privately held employer and exporter in the country, as well as a leader in the sector. The company's acquisition of Israel-based Mobileye Global Inc in 2017 for $15 billion further solidified its presence in the region. Last year, Intel took Mobileye public, showcasing its commitment to innovation and growth.
Prime Minister Netanyahu expressed his enthusiasm for the deal, describing it as a tremendous achievement for the Israeli economy. He stated, "90 billion shekels ($25 billion) - the largest investment ever by an international company in Israel." This investment not only highlights the attractiveness of Israel as a destination for foreign investment but also reinforces the country's position as a global technology hub.
Intel acknowledged the crucial role played by its Israel operations in its global success. In a statement, the company emphasized its commitment to meeting future manufacturing needs and expressed gratitude for the continued support of the Israeli government. This investment will further strengthen Intel's manufacturing capacity and contribute to the growth of the technology sector in Israel.
The Intel-Israel partnership marks a significant milestone in the country's economic development. With the establishment of the new factory, Israel will continue to attract global investments and solidify its position as a leading player in the technology industry.
Intel plans to invest $25 billion in a new factory in Israel, marking the largest-ever international investment in the country.
The factory in Kiryat Gat is expected to open in 2027 and operate until at least 2035, creating employment opportunities for thousands of people.
Intel will pay a 7.5% tax rate as part of the deal, demonstrating its commitment to the Israeli economy.
Source: REUTERS