On Monday, reports surfaced hinting that Intel may have canceled a planned factory expansion in Israel. Business news site Calcalist headlined its report “Intel Global is stopping the expansion of the factory in Kiryat Gat,” according to a machine translation of the article. However, it also cited senior government officials saying that there has been no change in Intel’s planned investments in Israel. A canned statement from Intel was also published, hinting that evidence initial reports were based upon were merely indicative of a ‘schedule adjustment.’
Intel outlined its plans to expand its Kiryat Gat factory as recently as December 2023. According to news at the time, Intel would invest a considerable sum of $25 billion into the project. To incentivize the expansion, Israel's government agreed to support the Intel project to the tune of $3.25 million. Furthermore, in March this year, a new $900 million power plant was commissioned, backed by a signed memorandum of understanding with Intel.
