Intel has received approval from Israel’s finance and economy ministries for a planned investment of $6 billion to upgrade a chip manufacturing plant in the country. The investment if reported to be the largest single investment by a foreign company in the country.
Intel will receive a $300 million grant over five years from the Israeli government as part of the deal and will pay corporate tax of only 5% through to 2023, though the standard rate of company tax in Israel in 2014 was 26.5%. The plant, which is located in the southern town of Kiryat Gat, is expected to be used to produce 10 nanometer chips for use in wearable technology and perceptual computing devices.
