Germany, Intel strike $33 bn chip plant deal; $11 bn subsidy on offer

Intel will invest more than €30 billion ($33 billion) in Germany as part of its expansion push in Europe, the US company said marking the biggest investment by a foreign company in Europe’s top economy.

The deal to build two leading-edge semiconductor facilities in the eastern city of Magdeburg involves €10 billion in German subsidies, a source said.

The agreement includes what Intel said was increased government support including incentives, reflecting the expanded scope of the project since it was first announced in March 2022.