United States based technology company and world leading chip manufacturer Intel Corp. (INTC) will be investing a whopping $7.1 billion to set up a new plant in Malaysia. The new plant will be used for chip-packaging and testing and it will be creating employment opportunities for over 5,000 people.
This announcement was made by the company’s chief executive officer, Pat Gelsinger, who says the new plant will come very much in handy addressing the current global chis shortage which has resulted to some auto manufacturers suspending production activities.
According to the CEO, the new advanced packaging plant in Malaysia is set to start production in 2024. The plant will also provide over 5,000 construction job opportunities in the country. Gelsinger says that he expects the chip shortage situation to last all through to 2023.
“Overall the semiconductor industry this year will grow more than it has in the last two to three decades. But still the gaps are large and I predict that the limitations of the shortages will persist into 2023,” said the CEO.
Malaysian Minister of International Trade and Industry, Mohamed Azmin, welcomed this announcement terming it as a timely one since it comes at a time when the world has been witnessing a global chip shortage which can be partly be linked to the pandemic which increased chip demand.
“This undertaking is indeed timely given the bullish global demand driven by the chip shortages and the potential challenges arising from the recovery of the pandemic globally,” said the Minister.