The Hindu : National : No Intel fab in India

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Saturday, Jun 23, 2007
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No Intel fab in India

Anand Parthasarathy

Bangalore: The world’s leading semiconductor company, Intel, will not after all set up a ‘fab’ or fabrication unit in India.

The Santa Clara, California-based chip maker has decided not to create new capacity to manufacture, assemble or test the silicon processors that have been its flagship offerings to the computer industry - at least for the time being. A spokesperson for the company told The Hindu late on Friday, that this was not something decided just for India but for all geographies.

Ever since the Indian government spelt out its policy for the semiconductor manufacturing industry earlier this year, there has been speculation that Intel might finally decide to create its next silicon foundry here. But after the last such announcement of a facility in China in June, the company seems to have relooked its roadmap and decided that enough is enough, for now.

The spokesperson added, “India continues to be critically important to Intel, both from a market growth perspective and from the significant contributions that our India design centre continues to deliver to our worldwide product innovation and Intel will continue its commitment to investment in India. By end of 2007, Intel would have invested upwards of $1billion in its India operations, which is the largest R&D site outside of the U.S.”

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