Intel is in talks with Apollo Global Management to invest more than $11 billion to build a fab in Ireland. This was reported by UNN with reference to the WSJ.
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Intel is closing in on an $11 billion partnership deal with Apollo in Ireland. The investment firm is in exclusive talks to provide the chip giant with cash for a new plant, The Wall Street Journal reports.
According to sources close to the matter, the deal may be closed in the coming weeks.
According to the WSJ, Intel's ability to pay such a sum was reduced due to the slowdown in its business of supplying chips for personal computers and servers. At the same time, the likely deal will help the chipmaker cover the high costs of building a next-generation chip manufacturing plant.
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Intel already has a semiconductor wafer manufacturing plant in County Kildare, Dublin, as well as a research and development campus in the west of Ireland.
The new fabs are designed to support Intel's chip manufacturing business, which competes with industry giants such as Taiwan Semiconductor Manufacturing and Samsung Electronics.
Currently, the company expects to receive up to $20 billion in government subsidies, as well as $50 billion in direct financing and loans to develop the sector.
Recall
Intel reported a $7 billion operating loss for its chipmaking division.
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