World, As Seen from the most beautiful islands: Ireland and Cyprus

Irish Intel plant will target booming automotive industry


The plans for a factory to produce semiconductors (chips) for cars in Ireland are on the table. There are two more factories to follow. “Cars become computers with wheels,” CEO Pat Gelsinger told.

An investment of around 80 billion euros to produce chips in Europe for more than ten years. That is the plan Intel could draw up to meet market demand in Europe. There is a global shortage of chips. These specific chips, called semiconductors, are fundamental to the automotive industry. It wants to accelerate the digitisation of cars.

Intel CEO Pat Gelsinger spoke about it in a speech at the Motor Show in Munich.

“Cars become computers with wheels, we need everyone to do this. The goal is to create an innovation centre in Europe, for Europe,” said Slinger.

The CEO, who has been in office since February, recalled that Intel plans to build at least two state-of-the-art factories in Europe and is expected to announce the site by the end of the year, Reuters reports. Speculation points to France and Germany as the countries that could be elected. But Poland, where Intel is already present, could also be a possibility.

Irish Intel plant will target booming automotive industry

In addition, Gelsinger provided more details on the IDM 2.0 plan that was already announced in March. He explained that Intel will open a semiconductor manufacturing plant specifically for the automotive sector in Ireland.

The company considers the automotive sector to be strategic and estimates that chips will account for around 20 percent of the cost of a premium vehicle by 2030. That’s a fivefold increase from the 4 percent in 2019. Internal analysts ‘ estimates do not preclude that percentage from rising to 100 by the end of the decade. At the same time, Intel will launch a dedicated “accelerator”service for manufacturers. The service should assist them in designing their cars using increasingly advanced chip technology.

Since the chip crisis broke out around the world, Intel has also announced its intention to build two new factories in Arizona in the United States. The price tag is about 20 billion dollars. Gelsinger had hoped for an intervention by European leaders to invest in the sector. In the 1990s, the United States and Europe supplied 37% and 44% of the world’s semiconductors, respectively. Now the market is dominated by players from Asia.

In Washington in June, the Senate approved a $ 52 billion plan for the sector. Brussels wants to double its share of production to 20 percent by 2030 with the Digital Compass plan, which is also supported by an alliance of manufacturers.

Written by: Liam O'Reilly

Liam O'Reilly is the founder of the publication, a former analyst at a major reputation agency in the UK, who chose Cyprus as his home.

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World, As Seen from the most beautiful islands: Ireland and Cyprus

From Trinity st. to Limassol, Cyprus

Ireland and Cyprus have one thing in common. The most beautiful islands are divided. Even proportions are strikingly similar. Both nations strive for unity and a good glass of the news. More about us under the link.

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