Intel in $25bn Israel 2nm fab expansion

Intel in $25bn Israel 2nm fab expansion

Business news |
By Nick Flaherty

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Intel is expanding its fab in Israel with a $25bn investment for a 2nm process technology and below.

The expansion of the Intel Kiryat Gat fab 28 for 2nm technology is backed by a $3.2bn subsidy from the Israeli government.

The fab in the south of the country employs 3,900 people and is Intel’s most advanced manufacturing facility. It is also a key reason for the strong semiconductor ecosystem in the country. Intel Haifa has a focus on hardware and software development centre for processors and AI while Intel Petah Tikvah is a communication and AI solutions development centre and Intel Jerusalem is the global development centre for autonomous cars for its Mobileye subsidiary.

With 11.700 employees in total, Intel Israel is the country’s largest single employer and the deal is a key demonstration of business support despite the war in Gaza.

“The expansion plan for the Kiryat Gat site is an important part of Intel’s efforts to foster a more resilient global supply chain,” said Intel. The expansion is planned to start in 2028 and run to 2035, which, as the companies most advanced plant, means it will be running the Intel 20A and 18A sub-2nm process technologies. However Intel has not commented on the technology that will be in the fab.

Intel is also building leading edge fabs in Arizona, Ohio and has announced plans for a fab in Madgeburg, Germany. Fab 4 in Ireland is coming online with 4nm technology.


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