Intel has announced plans to invest $4.6 billion in a new semiconductor assembly and test facility in western Poland, boosting its presence in the European Union. The project is aimed at creating more resilient supply chains, according to Intel CEO Pat Gelsinger. The move is also seen as an attempt to increase chip production in the EU amid rising geopolitical tensions. Intel already has a wafer fabrication facility in Ireland and is planning a major chip complex in Eastern Germany, as it seeks to create an end-to-end semiconductor manufacturing value chain in Europe. The Polish plant is expected to start its operations in 2027, subject to EU approvals.
The new facility will create chips on silicon wafers through chemical, mechanical, and optical processes. A semiconductor assembly and test facility like the one planned in Poland will receive completed wafers from fabs, cut them into individual chips, assemble them into final products, and test them for performance and quality. The announcement comes at a time when the German government is considering increasing subsidies for a similar project there to around €10 billion, in a bid to boost chip production in Europe.
The CEO of Intel noted that the new plant will be critically needed, with Polish Prime Minister Mateusz Morawiecki hailing it as a "magnet" for further tech investment in the country. Morawiecki also said that the Intel plant will strengthen Poland's ties with the US, calling it the country's biggest greenfield investment ever. The investment in Poland is part of Intel's push to regain its position as a leader in the semiconductor industry, as it has lately been overtaken by Taiwan Semiconductor Manufacturing Co. Most of Intel's chip production is currently located in East Asia.