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Germany paying $5.5B for Intel fab

electronicsweekly.com

111–120 of 593 posts

Re: Germany paying $5.5B for Intel fab

#111
post #30

Earlier quoted context omitted.

Correct, but ASML is not a chip fab

No but it is the monopoly supplier of the single most important device for fabs. If ASML (and all their knowledge) disappeared off the face of the earth today progress in semiconductors would probably be set back a decade or two. The fact they are a single company in one country that the global industry depends on for progress in semis should be of concern.

What company has the next-best litho machines after ASML?

Re: Germany paying $5.5B for Intel fab

#112

Earlier quoted context omitted.

> Does it really matter which country is the headquarters for the corporate owner? It's still a German plant hiring Germans and subject to German laws. The rule of law exists in both Germany and the US. Of course it matters. The profit goes in the direction of headquarters, tax is paid in the country of headquarters, and the government of the country of headquarters has much bigger influence to the company.

>tax is paid in the country of headquarters Tax havens have something to say about that. The French semi giant, ST, is financially incorporated in the Netherlands (STMicroelectronics N.V.), as is the French giant Airbus (Airbus Group N.V.). There seems to be a pattern here. It's almost as if companies don't want to pay taxes, regardless if it's their home country.

Following the merger between Peugeot and Fiat-Chrysler the new company (Stellantis) is also headquartered in the Netherlands, though I believe that Fiat-Chrysler already was.

That's a recurring issue for France because they are not business-friendly. It's not even a question of being a tax-heaven (the Netherlands are not) but simply to make everything unduly complex and costly. We've also seen that following Brexit: Banks would move from London to Paris! Err, no they didn't move or moved to Amsterdam...

Re: Germany paying $5.5B for Intel fab

#113
post #61

Earlier quoted context omitted.

You don't need to create an Intel competitor from scratch. For example the same money can be better invested in Infineon, ASML, Bosch or a number of local companies that work on chips. Or it could be put into RISC-V work.

I don’t get your point. What you describes sounds exactly like the goal of such a subsidy. With new Intel factories in Europe that means more demand for ASML and other European companies, given that they already collaborate. With the addition that you can now train Europeans and develop the industry locally.

My point is that as a taxpayer in Germany, I don't want to subsize an American company. Better to invest in local companies like Infineon or Bosch.

Re: Germany paying $5.5B for Intel fab

#114
post #85

Earlier quoted context omitted.

It's about national security. A fab is necessary for national security

Subsidizing an American company is not necessary for Germany's security. In fact, it undermines it.

I mean in theory but not in practice

Re: Germany paying $5.5B for Intel fab

#115

Once again EU taxpayer money bankrolling US tech dominance. When will we ever learn to build up our domestic tech industry? And before the chip hipsters crawl all over my back to prove we ackshually have a powerful domestic semi industry, please name me another EU company, other than ASML (a company 90% of people here never heard of before the chip shortage), that has the same margins, dominance and ability to shape…

It would maybe make more sense if it was a foundry offering their services to numerous fabless companies. Having an advanced one in the EU would be beneficial regardless of where the headquarters of the foundry is. But this one is just going to produce Intel chips as I understand, so basically it's just workplaces, and not a huge lot of them compared to the investment made.

Re: Germany paying $5.5B for Intel fab

#116

Earlier quoted context omitted.

No but it is the monopoly supplier of the single most important device for fabs. If ASML (and all their knowledge) disappeared off the face of the earth today progress in semiconductors would probably be set back a decade or two. The fact they are a single company in one country that the global industry depends on for progress in semis should be of concern.

What company has the next-best litho machines after ASML?

> As of 2022, ASML Holding is the only company who produces and sells EUV systems for chip production

Re: Germany paying $5.5B for Intel fab

#117

German investment again going to foreign companies, the very opposite of strategic sovereignty. The Trump era should be enough evidence that there are no friends in geo-politics, just temporary alliances of convenience.

That was only 4 years, hardly an era.

Trump was yet another demonstration that Americans can't be trusted.

Re: Germany paying $5.5B for Intel fab

#118
post #30

Earlier quoted context omitted.

Correct, but ASML is not a chip fab

No but it is the monopoly supplier of the single most important device for fabs. If ASML (and all their knowledge) disappeared off the face of the earth today progress in semiconductors would probably be set back a decade or two. The fact they are a single company in one country that the global industry depends on for progress in semis should be of concern.

Would it be? Or would it be one step back for a few years and then two steps forward by the 10 year mark due to renewed competition?

Re: Germany paying $5.5B for Intel fab

#119
post #30

Earlier quoted context omitted.

Correct, but ASML is not a chip fab

No but it is the monopoly supplier of the single most important device for fabs. If ASML (and all their knowledge) disappeared off the face of the earth today progress in semiconductors would probably be set back a decade or two. The fact they are a single company in one country that the global industry depends on for progress in semis should be of concern.

But it doesn't only have factories in the Netherlands and is as much controlled by a single "entity" as Intel is (e.g. the US doesn't control Intel).

Most relevant as far as I can tell this situation was intentionally created that way to be able to better keep China off the high end chip market.

Re: Germany paying $5.5B for Intel fab

#120
post #66

German investment again going to foreign companies, the very opposite of strategic sovereignty. The Trump era should be enough evidence that there are no friends in geo-politics, just temporary alliances of convenience.

Germany and strategic sovereignty… Looking at gas pipes, they have an alternative understanding of sovereignty.

Increasing trade with Russia is a good strategy. No need to follow America to WW3 or a new cold war.
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