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Investing.com – Intel (NASDAQ:INTC) stock edged 0.8% higher on Tuesday after the chipmaker selected sites in Europe to bolster its efforts at reclaiming its past glory in the hi-tech business.
The company said it will build a big chipmaking complex in Germany, boost existing capacity at its Ireland factory, set up a design and research facility in France, and a packaging and assembly site in Italy.
With an initial investment of 33 billion euros ($36 billion), including 17 billion euros for the German plans, the spending will help meet surging demand for chips used in computers, cars, mobiles and other gadgets. Rivals like TSMC, Samsung (KS:005930) and Nvidia (NASDAQ:NVDA) are raising their investments to build capacities at a time when both corporations and individuals are pivoting to a digital life.
Intel has already committed more than $150 billion in spending on creating new chip-making capacities over 10 years as it attempts to de-risk its business from excessive reliance on China for critical components.
In January, it committed more than $20 billion in two new leading-edge chip factories in Ohio, a site that could ultimately host eight such units.
At full buildout, total investment in the 1,000-acre Ohio site could be as much as $100 billion over 10 years, making it one of the largest semiconductor manufacturing sites in the world, Intel said.
The company had in September said it will invest $20 billion in building two new factories in Arizona.
