“Support from the Israel government will … ensure that Israel remains a global center of semiconductor technology and talent,” Intel Vice President Daniel Benatar said.
“The timing, which comes as the world is highly competing for chip investments, is a significant vote of confidence in Israel’s economy,” Israel’s Finance Ministry said in a statement.
Referencing the ongoing conflict between Israel and the Hamas terror group, Israeli Finance Minister Bezalel Smotrich added that the investment, “at a time when Israel wages war against utter wickedness, a war in which good must defeat evil, is an investment in the right and righteous values that spell progress for humanity.”
Intel began its operations in Israel in 1974 in Haifa, which became the chipmaker’s first development center outside the United States, according to the company’s website. In 1981, Intel’s first factory outside the US was established in Jerusalem. The company currently employs 11,700 people in Israel and is the largest private employer in the Israeli hi-tech sector. It has three development centers in Israel — located in Haifa, Petah Tikva, and Jerusalem — as well as its manufacturing facility in Kiryat Gat. The Centrino chip, which enables the use of WiFi, and its Core processors were developed in Israel.
Intel’s CEO Patrick Gelsinger recently appeared on the FOX Business show The Claman Countdown and discussed how the ongoing Israel-Hamas war has affected Intel operations in Israel. He said about 17 percent of Intel employees in Israel are on reserve duty in the Israel Defense Forces and “several” employees have been killed in the war.
“The Israeli people are the most resilient people on earth,” he added. “They have not missed a single wafer commitment or product commitment despite the conflict. That’s why we believe so deeply in them … this is a resilient people. We will support them. We pray for peace to come quickly to the region and a more permanent solution. But we are deeply committed to our operations there.”
