Intel in talks to invest 10B$ in Israel over 10 years.

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ShintaiDK

ShintaiDK

Lifer
Apr 22, 2012
20,378
146
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Seems Israel will be part of the 10nm wave.

"Intel is talking with us about a huge investment of $10 billion," Nahum Itzkovich, the new director of the Economy Ministry's Investment Centre, said in his first interview since assuming office. "We are engaged in intensive negotiations with Intel."
Under discussion is an investment of $3 billion to upgrade the existing Fab 28 factory in the southern town of Kiryat Gat, and another $7 billion in a new factory in the town over the course of 10 years, he said.
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http://uk.reuters.com/article/2013/...9I20130702?feedType=RSS&feedName=businessNews
 
NTMBK

NTMBK

Lifer
Nov 14, 2011
10,522
6,046
136
frozentundra123456 said:
Just curious, why did Intel get so heavily invested in Israel? Do they have some particular techincal expertise? Just wondering, because I never thought of Israel as a particularly good business climate.
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*shrug* No idea what it is that gives Intel Israel that "secret sauce", but it's clearly working judging by their track record to date.
 
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SiliconWars

Platinum Member
Dec 29, 2012
2,346
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ViRGE said:
Israel is also where one of Intel's CPU design teams is based. They're the ones responsible for Pentium-M (Banias), for example. They also did one of the Bridge CPUs, though I don't know which.
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It was Sandy Bridge. This has given them the reputation amongst the intel crowd of being some sort of uber design team.
 
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blackened23

Diamond Member
Jul 26, 2011
8,548
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frozentundra123456 said:
Just curious, why did Intel get so heavily invested in Israel? Do they have some particular techincal expertise? Just wondering, because I never thought of Israel as a particularly good business climate.
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As someone else mentioned, Israel has some of the best and brightest engineers in the world, it is definitely a tech hot-spot.
 
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blackened23

Diamond Member
Jul 26, 2011
8,548
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SiliconWars said:
There are hotbeds of high-tech industry just about everywhere in the world, "Silicon Valleys" are everywhere.

Clearly Intel is looking for a big government grant before committing to anywhere, and is playing off Ireland and Israel to get the best offer they can.
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I don't really agree, I think the costs are a secondary consideration to available talent. If cost were a primary factor, silicon valley would be empty of any and all corporations - the costs associated with that area are sky high. But it is a tech hot-spot which attracts some of the best the world has to offer.
 
TuxDave

TuxDave

Lifer
Oct 8, 2002
10,571
3
71
SiliconWars said:
It was Sandy Bridge. This has given them the reputation amongst the intel crowd of being some sort of uber design team.
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All projects spans multiple sites but if you wanted to assign a central team you could say they owned Sandybridge and Ivybridge.
 
Blitzvogel

Blitzvogel

Platinum Member
Oct 17, 2010
2,012
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Israel has been involved with military electronics for a long time and that in turn translated into a lucrative civilian software and electronics industry. Same story as the US.

Most of their IAF F-16s have a huge dorsal spine packed with electronic equipment, particularly electronic warfare systems like ECM jammers.
f-16-israel-4.jpg


Even though they have a very small aircraft building industry, for years they have been packing their imported equipment with their own electronics as well as upgrading that which is found in many foreign air forces, most notably I'd say South Africa's old Atlas Cheetahs.

I like aircraft :D
 
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Idontcare

Elite Member
Oct 10, 1999
21,110
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frozentundra123456 said:
Just curious, why did Intel get so heavily invested in Israel? Do they have some particular techincal expertise? Just wondering, because I never thought of Israel as a particularly good business climate.
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Andy Grove, co-founder and eventual CEO of Intel, is Jewish.

I always assumed the desire from within Intel's corporate structure to seed and cultivate a successful Israeli national semiconductor industry was motivated in part by Andy's ethnicity.

I could be wrong though.
 
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Silverforce11

Lifer
Feb 19, 2009
10,457
10
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Idontcare said:
Andy Grove, co-founder and eventual CEO of Intel, is Jewish.

I always assumed the desire from within Intel's corporate structure to seed and cultivate a successful Israeli national semiconductor industry was motivated in part by Andy's ethnicity.

I could be wrong though.
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Uhh.. no, Israel has a proven record of hi-tech R&D, in engineering, electronics, pharma etc. The country itself has no natural resources to fall upon, they only have their minds.

Intel's R&D in Israel have provided them the basis for the entire "core" generations of CPUs, enabling them to completely dominate the market.
 
meloz

meloz

Senior member
Jul 8, 2008
320
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There is no reason why this could not be done in US, Canada or Ireland or anywhere else. Israel is chosen this time for the same reason it was chosen intially for setting up a foundry.

Massive investment by a US company in sensitive areas (in this case leading-edge semiconductor technology) ties US interests with that of Israel. Many Jewish-Americans share this belief, and have played a role in making Intel invest in Israel. Some of the biggest Intel shareholders are Jewish. Jewish-Americans in general are very active in lobbying and aligning US interests with that of Israel, whether it be by means of media or commerce.

Silverforce11 said:
Uhh.. no, Israel has a proven record of hi-tech R&D, in engineering, electronics, pharma etc. The country itself has no natural resources to fall upon, they only have their minds.
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This proven record only came once Intel invested there. Before that, Israeli "success" were limited in the narrow vertical of military opto-electronics. In this segment, their task of duplicating US products was made easier since they have access to all the same manufacturing equipment as companies in US (unlike rival defense companies in Russia or China). They were also helped by the fact that Israel gets a huge military aid, which in effect subsidized their entire industry.

Without this enormous US financial aid Israel would be no better off than India at the moment as far as maturity of domestic semiconductor technology is concerned.

Silverforce11 said:
Intel's R&D in Israel have provided them the basis for the entire "core" generations of CPUs, enabling them to completely dominate the market.
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Core could have also been designed and made in US. Nothing magical about Israel. Intel provided Israeli talent with an opportunity to showcase. You make it sound as if without Israel Intel would be nowhere. Intel hire the best from all over the world, they would be doing equally well today without Israel.
 
ShintaiDK

ShintaiDK

Lifer
Apr 22, 2012
20,378
146
106
People need to realize. Thats where you build depends on subsidize. Ireland, Israel, Oregon, Dredsen, New York etc is not choosen for their good location. But rather how much money the locals want to throw at it.

Intel in the past have invested 10.5B$ total in Israel and got 1.3B$ in grants.

Globalfoundries got the biggest cash grant ever with New York. 1.4B$ grant for a 4.6B$ fab.
 
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TuxDave

TuxDave

Lifer
Oct 8, 2002
10,571
3
71
Silverforce11 said:
Hindsight.. you know what they say.

The fact is, we are on the 4th gen (or is that 5th?) into the core microarchitecture, and not failing with Netburst v4.0..
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Actually the correct response is that the US already does design certain "Core" generations.
 
lamedude

lamedude

Golden Member
Jan 14, 2011
1,230
69
91
Most armchair CEO's would take a smaller subsidy from a more stable region.
 
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