Intel delays 17 billion euro German chip factory project, hoping to get more subsidies

According to market news, Intel has given up its original goal of opening a chip factory in the eastern German city of Magdeburg (Magdeburg) in the first half of 2023, hoping to obtain more public subsidies. Soaring energy and raw material prices upended the company's original calculations.

Intel's original cost budget was 17 billion euros, but now it is close to 20 billion euros, and there is a huge funding gap in the middle. According to reports, Intel's original plan was disrupted due to sharp price increases in energy and raw materials. Intel spokesman Benjamin Barteder said: "Geopolitical challenges have intensified and demand for semiconductors has fallen. This means that we cannot yet give an exact date for the start of construction."

It is understood that TSMC decided to temporarily shelve its European development plan in the first half of the year, mainly due to the lack of local customers.