RT.com
05 Aug 2022, 00:43 GMT+10
Countries look to diversify as more than 90% of advanced chips currently come from Taiwan
US chipmaker Intel is close to clinching a deal with Italy to build an advanced factory in the country for the production of semiconductors, Reuters reported on Thursday. The investment is part of a larger plan to increase chip production in the EU to reduce reliance on Asia.
The deal for the semiconductor packaging and assembly plant will initially be worth $5 billion, Reuters says, citing its sources. The agreement looks likely to be reached by the end of August, the agency added.
The investment in Italy is part of a wider plan by Intel, the world's largest semiconductor chip manufacturer by revenue, to invest $88 billion in building capacity across Europe, in a bid to cut reliance on chip imports from Asia, particularly in light of current tensions between China and Taiwan.
The world's largest semiconductor foundry is Taiwan Semiconductor Manufacturing Co. (TSMC), which produces over 90% of the most advanced semiconductors used in the global industry.
A global chip supply crunch triggered by the coronavirus pandemic has curbed the output of Europe's strategic car industry. Semiconductors are also used in computers, household appliances, and numerous other items.
Reuters reported earlier that Rome is ready to fund as much as 40% of Intel's total investment in Italy, which is expected to rise over time from the initial $5 billion.
The EU wants to develop innovative semiconductor facilities on its territory. The European Commission made a total of more than €43 billion of policy-driven investment available under its Chips Act until 2030.
For more stories on economy & finance visit RT's business section
(RT.com)
Get a daily dose of Hong Kong Herald news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Hong Kong Herald.
More InformationBEIJING, China: China's national soccer team may struggle to stir excitement, but its humanoid robots are drawing cheers — and not...
]LONDON, U.K.: A World Health Organization (WHO) expert group investigating the origins of the COVID-19 pandemic released its final...
FRANKFURT, Germany: Germany has become the latest country to challenge Chinese AI firm DeepSeek over its data practices, as pressure...
TORONTO, Canada: Harvard University and the University of Toronto have created a backup plan to ensure Harvard graduate students continue...
BONN, Germany: Despite widespread belt-tightening across the United Nations, nearly 200 countries agreed this week to increase the...
(New York) - China's government has erased Hong Kong's freedoms since imposing the draconian National Security Law on June 30, 2020,...
NEW YORK, New York - U.S. stocks diverged on Wednesday for the second day in a row. The Standard and Poor's 500 hit a new all-time...
NEW YORK CITY, New York: The U.S. dollar continues to lose ground, weighed down by growing concerns over Washington's fiscal outlook...
KABUL, Afghanistan: Afghanistan, long associated with war and instability, is quietly trying to rebrand itself as a destination for...
SANTA CLARA, California: Executives at Nvidia have quietly been cashing in on the AI frenzy. According to a report by the Financial...
NEW YORK, New York - Global stock indices closed with divergent performances on Tuesday, as investors weighed corporate earnings, central...
TORONTO, Canada: Canadian Prime Minister Mark Carney announced late on June 29 that trade negotiations with the U.S. have recommenced...