Intel has announced that Wroclaw, Poland, the country’s third-largest city, will host the company’s newest chip factory in Europe. Wroclaw beat several other cities in Europe for the investment.
Why it matters: Europe, like the rest of the world, has been facing a major semiconductor shortage. Leaders are offering billions of euros in subsidies to reduce its dependence on Asia and subsequently increase the production of semiconductors on its own soil. This investment from Intel is a significant one, equating to around $4.6 billion, with the factory set to employ around 2,000 workers.
- “As you are picking a location, imagine you are going on a date. You have a sense, oh they really want this to work,” said Intel CEO Pat Gelsinger. “We definitely came away with a strong belief that the local government wants to make this work.”
- Poland’s Prime Minister said that this investment in Wroclaw marks the biggest greenfield investment in its history.
- The global shortage of semiconductors is projected to continue into 2024 according to the European Parliament given it takes around 2-3 years to build a new chip-making factory. In the meantime, everything from computers to new vehicles will be impacted by the shortage, which only incentivizes more investment in the space.
