Intel has frozen the creation of enterprises in Italy and France due to “financial losses”

Intel has suspended several major investment projects in Europe due to “financial losses,” Politico reports. According to the publication, the company, in particular, froze projects in France and Italy, redirecting its attention to projects in Ireland, Germany and Poland.

Image Source: Intel

Intel already has advanced semiconductor manufacturing in Ireland. Construction of one of the most advanced chip factories in the world is about to begin in Germany. In Poland, Intel is going to build a modern packaging plant.

In France, Intel planned to create a new research and development center in the field of artificial intelligence and high-performance computing. The enterprise was supposed to be located near Paris. The said project, which was originally scheduled to open at the end of this year, was expected to attract 450 new employees. However, it is currently suspended due to “changes in economic and market conditions.” Despite the pause, Intel claims that France remains a potential site for the creation of a new R&D center.

In Italy, the company was going to build an enterprise worth 4.5 billion euros with a staff of 1,500 people and organize a logistics network for 3,500 suppliers. It is noted that Intel’s expansion in Italy was largely hampered by the collapse of the acquisition of Tower Semiconductor, an Israeli company associated with the Italian STMicroelectronics. The sale fell through due to a lack of approval from Chinese regulators, which ultimately impacted Intel’s plans to strengthen its presence in Italy.

Although some Intel projects in Europe have been put on hold, the company is still pursuing projects in Germany and Poland. True, there were some glitches there too. In Germany, Intel is building a huge factory complex, investments in the first stage of construction of which will amount to 30 billion euros. Various delays have pushed the launch of this venture back to late 2028, according to Politico. In Wroclaw, Poland, Intel wants to build a plant worth 4.6 billion euros to produce advanced chips, which will work together with a German enterprise where chiplets and packaging for them will be produced.