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| Intel factories in the state of Israel - An update |
| Tuesday, May 15, 2007 |
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| In Category: General Tech News |
| Comment(s): 0 |
| Views: 2488 |
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Some background
20 years ago Intel set up their first factory in Jerusalem, they got the best engineers in the world and hundreds of millions in help from the government. They actually liked it so they set another factory in the south of Israel and again squeezed the government; few years later came the 3rd factory also with the government massive support. These amounts could have helped the whole Israeli hi-tech industry, an Industry that leads the local economy and suffers from lack of government support (no wonder when so much money goes to Intel).
And Now...
A year ago Intel declared that they would like to close down their factories in Jerusalem rather then renew them. This, they knew, will be a massive blow for Jerusalem and even though they offered some of their engineers to move to their southern factories they also knew most of them will refuse. The public didn't like it but the local authorities in the city as well as the government started to plead with the Intel board. So Intel that never really wanted to close the factory, just to re-open negotiation came up with an offer: “Cut down our taxes and we will re-open the factory” - fools, the taxes was the reason they invested in you in the first place! Why would any government do away with it completely?
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