- The Magdeburg administration serves as a robust foundation in Intel's tactical blueprint.
The Saxony-Anhalt state administration is optimistic that Intel's settlement subsidies in Magdeburg will receive approval from the authorities. All essential papers are available, confirmed spokesperson Matthias Schuppe. No obstacles remain in the way of the certification process. A forthcoming meeting with EU Commission President Ursula von der Leyen (CDU) is scheduled in the near future.
The previous year, the federal government inked a funding agreement worth 9.9 billion euros with Intel, the US chipmaker. The company intends to establish multiple chip production facilities in Magdeburg at an estimated cost of approximately 30 billion euros. These state subsidies need EU approval. The European Commission has already endorsed a five billion euro grant for constructing a microchip plant in Dresden.
Doubts stemming from Intel's job cuts
Intel recently disclosed changes. A substantial workforce reduction of around 15,000 jobs, accounting for around 15% of the workforce, is planned to substantially lower costs. The company aims to save over ten billion dollars within the next year.
Following the announcement, there were worries that Intel might revise its commitment in Saxony-Anhalt. However, according to the government spokesperson, there are no indications that the company is altering its plans for Magdeburg. In fact, Magdeburg is viewed as a "robust foundation" in Intel's strategy and part of its reorganization, stated Schuppe.
The technical details of Intel's job cuts and their potential impact on the Magdeburg project have sparked discussions within the state administration. Despite these concerns, the technical aspects of Intel's settlement subsidies in Magdeburg remain on track, as confirmed by government spokesperson Matthias Schuppe.
