Despite fledging sales and a inability to maintain competitive in the never-ending race of x86 computing, Intel have managed to swindle $3.2 Billion dollars from the Israeli government to expand operations yet again in an agreement that involves Intel investing $25 Billion building a new chip production facility in southern Israel.
This substantial grant accompanies Intel’s decision to increase its investment in the Kiryat Gat facility in southern Israel by an additional $15 billion. Originally, in 2019, Intel had committed to investing $10 billion in the same facility.
With the recent hike in investment to $25 billion, the $3.2 billion government grant constitutes 12.8 percent of the total investment. It’s important to note that the multi-billion dollar grant will be disbursed over several years, with Intel required to achieve specific milestones.
Finance Minister Betzalel Smotrich referred to the $25 billion investment as an “important and significant” development for the country. As part of the agreement, Intel has also pledged to procure goods and services totaling 60 billion shekels ($16.6 billion) from suppliers in Israel over the next decade.
With Betzalei Smotrich further proclaiming that such an investment between the state of Israel and the Intel corporation is vital “during a time where Israel is facing a war against an absolute evil”.
Finance Minister Betzalel Smotrich is obviously referring to the occupation of Palestine of which according to just about everyone on social media is in full support of given their slow but certain genocide over the past several decades.
The primary focus of this new investment is the upgrade and expansion of the Kiryat Gat wafer fabrication site, known as Fab 28, situated just 26 miles from the Gaza region. This facility is responsible for the production of Intel 10-nanometer wafers.
Apart from the Kiryat Gat facility, Intel oversees three additional operations in Israel. These include a communications, software, and cybersecurity development center in Jerusalem, a communication and artificial intelligence (AI) solutions development center in Petah Tikvah, and a hardware and software development center specializing in processors and AI in Haifa.
Intel as a company is a welcome addition to Israel, given that a large portion of their chip development and production has been moved towards the state of Israel, and as a result of this illusive partnership Intel’s positioning as the market leader has collapsed upon themselves as consumers were left with 10nm production woes resulting in Skylake being refreshed for five consecutive years.
Intel is very important to Israel’s security, given that this large $25 Billion dollar investment is proclaimed to be the largest ever investment by any company in Israel, Intel has not disclosed the specific technology that will be manufactured at the upcoming facility. Named Fab 38, the plant is slated to commence operations in 2028 and continue operations until 2035.
Israel is very important to the Intel corporation as well, given how Intel’s CEO, Patrick Gelsinger proclaimed that they have over 20,000 individuals between direct employees, construction workers and independent contractors working for the company in Israel, with Gelsinger stating that around ~17% of these employees are on reserve duty.
It’s also worthy to mention that Pat Gelsinger, the current CEO of the Intel corporation is chairman of the board and a primary investor into a company called Gloo, a SaaS-based Personal Growth Platform.
Why is this important? Gloo faces allegations of targeting vulnerable individuals through the aggregation and improper use of self-reported medical data. Furthermore, Pat Gelsinger has forged a partnership between Intel and Cyberreason, a company primarily staffed by former members of Unit 8200 (Israeli military cybersec), the same individuals associated with BlackCube, Psygroup, and NSO Group’s Pegasus software.
Under the leadership of Patrick Gelsinger, Intel has collaborated and partnered up with untrustworthy corporations that are potentially harmful to ordinary everyday citizens, it is this very reason as to why I personally boycott the Intel corporation, aside from the fact that their main rival produces superior products of course.
There’s a reason as to why VMware tossed Pat Gelsinger side, if Intel wants any hope of redemption they should do the same.
Intel established its operations in Israel in 1974 and currently has a direct workforce of 11,700 individuals in the country, comprising 3,900 employees in manufacturing and 7,800 in development. Indirectly, the company contributes to the employment of an additional 42,000 people. The anticipated $25 billion investment is poised to generate thousands of new jobs.
In the previous year, Intel declared its intention to invest up to $100 billion in Ohio, with plans for potentially constructing the largest chip-making complex globally. As a component of this initiative, an initial investment of $20 billion was disclosed for a 1,000-acre site in New Albany.
In June of this year, Intel unveiled its strategy to invest up to $4.6 billion in a new semiconductor assembly and test facility in Poland. The operational commencement of the facility is anticipated by 2027, and it is projected to provide employment for 2,000 workers.
In that same month, Intel entered into an agreement with the German government to invest over 30 billion euros ($32.8 billion) in a chip manufacturing facility located in the city of Magdeburg. The German government committed to covering a third of the total investment.
Intel might not have the dominate stronghold they once held when it comes to architectural leadership, or process leadership for that mater, their products have been dwindling, with future tile-based designs certainly bound to contribute to slimmer margins of individual product sales, however they seemingly refuse to stop expanding with these extravagant and immensely expensive investments.
