Hanoi — Intel Corporation is considering a significant increase in its existing $1.5bn investment in Vietnam to expand its chip testing and packaging plant in the Southeast Asian nation, two sources familiar with the matter told Reuters.
A statement on the Vietnam government’s official portal was amended on Wednesday to remove a reference to an effort by the southern commercial hub of Ho Chi Minh City to attract $3.3bn in additional investment from Intel. One of the sources said Intel was pondering the Vietnam investment while making sure a further expansion abroad would not be seen as a hostile move by Washington, which is pushing to boost production of chips at home.Vietnam is aggressively pushing to expand its chipmaking industry, courting foreign companies in all the three main segments of assembling, testing and packaging; manufacturing with fabrication plants; and designing, officials said.
Designing chips requires less capital and more highly skilled workers, and Vietnam was making inroads there too, the executive said, with US giant Synopsys having operations there and with local firms expanding fast, including FPT and state-owned Viettel.
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