Excavators stand side by side at the edge of a field. The chip company Intel is putting the construction of a factory in Magdeburg on hold. The project will probably be delayed by two years, announced company boss Gelsinger. Intel is struggling with losses and has initiated a cost-cutting program. Klaus-Dietmar Gabbert/dpa
US chip-maker Intel is postponing the construction of a factory in Germany’s Magdeburg, company boss Pat Gelsinger said on Monday.
The project is expected to be delayed by around two years, Gelsinger said.
Intel was planning to build two chip factories in Saxony-Anhalt, creating some 3,000 jobs, with a groundbreaking ceremony planned for this year.
But Intel is struggling with losses and launched a cost-saving programme earlier this year. The company announced in August that it was planning on reducing its workforce by 15% as part of a cost-cutting programme worth billions of dollars.
A construction site vehicle drives across a closed road to an access road to the construction site of the Intel chip factory on the “Eulenberg”. The chip company Intel is putting the construction of a factory in Magdeburg on hold. The project will probably be delayed by two years, announced company boss Gelsinger. Intel is struggling with losses and has initiated a cost-cutting program. Klaus-Dietmar Gabbert/dpa
