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The Daily Wildcat

The Daily Wildcat

 

    “Intel to build $5 billion plant, hire 4,000 workers “

    SAN FRANCISCO — Intel Corp. on Friday said the company will build a new chip manufacturing factory, worth more than $5 billion, in Chandler, Ariz., and hire 4,000 new U.S. employees.

    Shares of Intel, the world’s biggest chip maker, rose 0.8 percent to close at $22.14 on Friday.

    Paul Otellini, Intel’s chief executive, announced the plan for the new facility, to be called Fab 42, as President Barack Obama was touring the company’s facility in Oregon.

    In a statement, Otellini said the “”new factory will play a central role in extending Intel’s unquestioned leadership in semiconductor manufacturing.””

    Intel had announced late last year a plan to spend $6 billion to $8 billion over several years to upgrade some of its existing U.S. factories and build a development lab in Oregon.

    The plan would support up to 8,000 U.S. construction jobs, and eventually add up to 1,000 high-skilled, high-wage manufacturing positions, the company said.

    IDC analyst Crawford Del Prete said the announcement shows Intel “”is feeling positive on semiconductor demand.””

    “”The process technology to build next generation semiconductor technology is getting harder and harder, requiring the most advanced process technology,”” he said in an e-mail interview. “”These kinds of processes require access to water, stable electricity, and a highly skilled workforce.””

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