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Intel okays $1 billion investment for India
December 05, 2005
The world's leading chipmaker Intel Corporation on Monday announced a multi-year investment plan for India, totalling over $1 billion, including $800 million over the next five years for business expansion. However, it kept mum on the plan to set up a chip manufacturing plant in India.
The investment roadmap includes a huge chunk ($800 million) for expanding the company's business operations in India, Intel Chairman Craig Barrett told reporters in New Delhi.
The investment would focus on expanding the research and development centre in Bangalore, in addition to marketing, education and community programmes. The investment roadmap also has a provision for setting up a $250 million venture capital fund in India.
However, the company remained non-committal on its plans for a chip manufacturing plant in India, saying it was involved in 'pragmatic' discussions with the government and at this point in time it was not appropriate to say anything.
"We are still in discussion with the government on the possibility of setting up a manufacturing plant in India. At this point of time we are not ready to announce anything," Barrett said.
Union IT Minister Dayanidhi Maran had some months ago announced that Intel would be setting up a $400 million assembly test-manufacturing unit in India.
"The investment demonstrates the company's long-term commitments and builds on the foundation we created during the last ten years," Barrett said.
"We will grow our local operations, boost venture capital investment and work closely with the government, industry and educators to increase the impact of the country's information and communication technology," he added.
(Above) Intel Chairman Craig Barrett addressing a press conference in New Delhi on Monday.
Photograph: Sondeep Shankar/ Saab Pictures