Intel To Invest $7 Bln On Chip Manufacturing Plant In Malaysia

(RTTNews) - U.S. chipmaker Intel (INTC) is reportedly planning to invest 30 billion ringgit or $7.1 billion to build a state-of-the-art facility in Malaysia.

According to Reuters, the Malaysian Investment Development Authority, in a media invitation, stated that Intel has selected Malaysia to expand manufacturing capabilities for its advanced semiconductor packaging technologies. The facility will be located in the northern state of Penang.

The official announcement will be made during a event that is set to take place at Kuala Lumpur airport on Wednesday with Intel CEO Pat Gelsinger, Malaysia's trade minister and the CEO of the Malaysian Development Authority.

The addition of advanced packaging capabilities to Intel's operations in Malaysia will strengthen its supporting activities and its global service center, according to the invite.

According to Electronics Weekly, the new packaging generation, called copper hybrid bonding interconnect, takes over when bump dimensions get to below 10 micron and it delivers a 10x improvement in interconnect density.