According to unconfirmed reports, Intel and the outgoing Italian government have decided on the Veneto town of Vigasio as the site of Italy’s multi-billion European chip factory. The town is located about 14 km (9 mi) southwest of Verona and was named by two of his persons familiar with the transaction. Reuters.
At first glance, Vigasio looks like an unassuming little town in northern Italy. The last census had a population of less than 7,500 he. However, it is located near key resources that probably helped in that choice. Sources say it’s close to the Brenner motorway and railroad, and has good connections to Magdeburg, Germany. A quick look reveals that the alleged Italian site and Magdeburg are nearly 1,000 kilometers (or about 600 miles) apart, about a 10-hour drive away.
Intel considered many geographically diverse sites in Italy when looking for the best location for its advanced semiconductor packaging and assembly plant in Europe, but ultimately chose one in Italy’s northernmost region. One site was shortlisted. After extensive deliberations, the Bigacio and Piedmont sites battled for the top spot on the two shortlists. However, a Reuters source said the decision was made in favor of Bigacio in early September.
No official announcement on Intel’s preferred Italian location has been made so far. Reports say the information is being withheld so as not to affect the elections that far-right candidate Giorgia Meloni claimed to win today. Meloni’s Party, the Italian Brothers, explained It is likely to form Italy’s most right-wing political party since World War II, the BBC reports.
It will be interesting to see what happens with the Italian brother’s almost certain election victory. The winner of the election must stamp their seal of approval on any transaction with Intel. Therefore, the continued flow of money from Rome will flow into Intel whatever new government is formed, and Intel will continue to encourage that same new government to establish a wide range of complementary semiconductor businesses within Europe. I am relatively confident of that.
It’s hard to see why the newly victorious party would put a roadblock in front of Intel’s deal, which promises 1,500 full-time jobs and an additional 3,500 jobs in local supporting industries. Around Europe, however, the host country typically covers his 40% of Intel’s facility establishment costs and offers other perks.
If all goes according to plan, the advanced semiconductor packaging and assembly plant based in Italy will begin operations between 2025 and 2027. It will join his two chip manufacturing plants in Magdeburg (Germany), another new fab in Leixlip (Ireland), a new R&D and chip design center in France, and a lab expansion in Poland.
Intel plans to invest about €80 billion ($77.5 billion) in Europe over the next decade.
