News Intel Considering German Fab Near Munich

[Admin]

Intel is talking to the German state of Bavaria about building a fab, possibly near Munich.

Intel Considering German Fab Near Munich : Read more

 

[littlechipsbigchips]

I dont understand this , people are jobless in USA and intel has 50 states to choose from , and yet they open in Germany ?

 

[Neilbob]

I'd have thought it would be more logical to build an Argentinian fab near Munich.

 

[passivecool]

I dont understand this

A Grand Understatement.
I think you are not using your big chips. Just the little ones for typing.

But oh, wait, wasn't intel just spending 20bn for 2 fabs in Arizona? next to all those others?

What do you think all those german-made bmws, mercedes audis -- oh and soon teslas -- run on?
(hint: ford ran out)

Bug chips are also necessary for reading, apparently, but it seems opinionation runs on the small ones.

PS
I hope they DO build it somewhere else. It is nearly impossible to find an affordable place to live anywhere in bavaria anymore. The last thing anyone needs is a few more thousand overpaid chip architects competing in the real estate market.

 

[spongiemaster]

I'd have thought it would be more logical to build an Argentinian fab near Munich.

You got it backwards. It would be logical to build a German fab in Argentina.

 

[Why_Me]

They'd be better off building it in Ukraine. Cheaper labor and less red tape.

 

[FakeMike]

Why the hell would any government subsidize a company making billions in profit?! This is completely crazy. Have them build the factory with their own profits.

 

[Why_Me]

Why the hell would any government subsidize a company making billions in profit?! This is completely crazy. Have them build the factory with their own profits.

The German automobile industry needs those chips.

 

[jkflipflop98]

There's plenty of places in the United States that would love to have tens of thousands of high-paying jobs move into the area.

 

[TerryLaze]

Bug chips are also necessary for reading, apparently, but it seems opinionation runs on the small ones.

Alter, kaefer is beetle not bug.
Is opinionation supposed to be another model of car?!

 

[sizzling]

There's plenty of places in the United States that would love to have tens of thousands of high-paying jobs move into the area.

And what if the chips are not intended for the US market? A global company needs to think globally.

 

[maik80]

I dont understand this , people are jobless in USA and intel has 50 states to choose from , and yet they open in Germany ?

Intel is a transnational company, they don't have to build factories in the US, they build where it's most efficient.

 

[jkflipflop98]

And what if the chips are not intended for the US market? A global company needs to think globally.

You got me there! There's no way to transport a good from inside the United States to outside the United States. Especially chips that are produced here but get their final packaging in Costa Rica and Malaysia. No sir.

 

[sizzling]

You got me there! There's no way to transport a good from inside the United States to outside the United States. Especially chips that are produced here but get their final packaging in Costa Rica and Malaysia. No sir.

There is a strong drive to reduce emissions created by shipping components around the world and the pressure to reduce these needless emissions is only going to grow over the next 10-20-30 years . Also Just In Time manufacturing working with your customers can be more efficient and is best when you are local to your customers. If Intel don’t grab the opportunity they leave it open to others to move in and be more competitive in the EU.

 

[bignastyid]

You got me there! There's no way to transport a good from inside the United States to outside the United States. Especially chips that are produced here but get their final packaging in Costa Rica and Malaysia. No sir.

Unless there is some sort of global calamity, like lets say a pandemic, that shuts things down and makes shipping difficult, slow and very expensive.

After Covid and the shortages that have come from it many countries are looking at getting fab facilities built closer to home.

 

[Co BIY]

$8 billion in subsidies goes a long ways.

Getting some production inside the EU system makes sense from a political diversification perspective.

I don't think the local auto production matters much from a logistics perspective (chips are an ideal good for shipping (incredibly small and light)). But it probably motivates the locals to bring the money bags to the table.

 

[spongiemaster]

Unless there is some sort of global calamity, like lets say a pandemic, that shuts things down and makes shipping difficult, slow and very expensive.

After Covid and the shortages that have come from it many countries are looking at getting fab facilities built closer to home.

If the chips need to ship somewhere else for packaging. What difference does it make from a logistical standpoint if they are manufactured locally or not?

 

[littlechipsbigchips]

Intel is a transnational company, they don't have to build factories in the US, they build where it's most efficient.

and Germany is the most efficient? Germany Salaries are in the top 3 in Europe ... You are talking about 2000 euros per month minimum salary Janitor ! and engineers upto 4000 euros. and others between 2500 - 3500 euros per month . more over living in Germany is very expensive .. VERY EXPENSIVE

 

[USAFRet]

Why the hell would any government subsidize a company making billions in profit?! This is completely crazy. Have them build the factory with their own profits.

They're going to make them somewhere.
How can we convince them to make it here, and employ local a workforce?

 

[USAFRet]

and Germany is the most efficient?

Possibly quality?

 

[Why_Me]

I dont understand this , people are jobless in USA and intel has 50 states to choose from , and yet they open in Germany ?

There's plenty of places in the United States that would love to have tens of thousands of high-paying jobs move into the area.

Intel is a transnational company, they don't have to build factories in the US, they build where it's most efficient.

https://www.cnbc.com/2021/03/23/int...-to-build-two-new-chip-plants-in-arizona.html
Intel is spending $20 billion to build two new chip plants in Arizona

https://apnews.com/article/nm-state...s-technology-89139a8c82687d42902bad78184728c7
Intel will be investing $3.5 billion in its New Mexico plant

 

[bignastyid]

If the chips need to ship somewhere else for packaging. What difference does it make from a logistical standpoint if they are manufactured locally or not?

Packaging is alot easy to change/adapt should the need arise.

 

[spongiemaster]

Packaging is alot easy to change/adapt should the need arise.

Ok. That doesn't answer the question I asked.

 

[USAFRet]

If the chips need to ship somewhere else for packaging. What difference does it make from a logistical standpoint if they are manufactured locally or not?

The shipping is irrelevant.
They would eventually need to be shipped somewhere, no matter where they were made.
The local workforce is what is in play here.

And these are not just consumer CPU chips.
All the chips in your car, tablet, TV, phone, remote control, etc, etc, etc. CPUs are everywhere.

 

[spongiemaster]

The shipping is irrelevant.
They would eventually need to be shipped somewhere, no matter where they were made.
The local workforce is what is in play here.

And these are not just consumer CPU chips.
All the chips in your car, tablet, TV, phone, remote control, etc, etc, etc. CPUs are everywhere.

Agreed. Manufacturing locations aren't chosen to save on shipping. It was bignastyid arguing that the chips needed to be manufactured locally in case there were disruptions in the global shipping, not me.