Intel to Puts $7 Bln into Factories

The global economy might be in the dumps, but Intel has just announced it will pump $7 billion into its U.S. factories over the next two years.

The worldwide economy might be in a sharp downturn, but chipmaker Intel is still looking to the future, announcing today it plans to invest $7 billion in its U.S. manufacturing facilities over the next two years. The most will roll out the company’s 32-nanometer technology to more facilities, enabling the company to produce more processors and semiconductor products that are smaller, faster, and use less energy.

“We’re investing in America to keep Intel and our nation at the forefront of innovation,” said Intel CEO Paul Otellini, in a statement. “These manufacturing facilities will produce the most advanced computing technology in the world. The capabilities of our 32nm factories are truly extraordinary, and the chips they produce will become the basic building blocks of the digital world, generating economic returns far beyond our industry.”

The first 32 nanometer CPU’s are codenamed “Westmere” and will target mainstream desktop and notebook computers by combining Intel’s existing Nehalem architecture with on-chip graphics. The first Westmere products should appear this year, with additional 32nm products landing in 2010.

The investments will be put into existing manufacturing facilities in New Mexico, Arizona, and Oregon, and will “support” approximately 7,000 jobs at those locations…although we take those to be existing jobs, not new positions. Intel builds about 75 percent of its products in the United states, although roughly three quarters of its sales come from overseas markets.